Stabilizing FHA Loan Limit Calculations Act of 2014

Stabilizing FHA Loan Limit Calculations Act of 2014 - Amends the National Housing Act, with respect to the mortgage insurance eligibility of a 1-family or a 2-, 3-, or 4-family residence, to revise the formula for determining the median house price in the larger formula for determining the principal obligation of a mortgage.

Declares that, for 2014 and each succeeding year, the median house price for any size residence for an area shall be considered to be the greatest median house price for such size residence for that area used by the Secretary of Housing and Urban Development (HUD) to determine the dollar amount limitation on the principal obligation for 2013, or for any succeeding year before the assignment of the Federal Housing Administration (FHA) case number for the mortgage involved.

Allows the Secretary, however, to increase the maximum dollar limitation on the principal obligation of an eligible mortgage otherwise in effect for a particular size or sizes of residence in any geographic area smaller than an area for which dollar amount limitations are ordinarily determined, if a higher maximum dollar amount limitation is warranted by higher median home prices in that smaller area.

[Congressional Bills 113th Congress]
[From the U.S. Government Publishing Office]
[H.R. 4208 Introduced in House (IH)]

113th CONGRESS
  2d Session
                                H. R. 4208

  To ensure stability in FHA maximum mortgage amount limitations for 
          areas experiencing decreases in median home prices.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                             March 12, 2014

   Mr. Gary G. Miller of California (for himself, Mr. Sherman, Mrs. 
Carolyn B. Maloney of New York, Mr. Calvert, Mr. McNerney, and Mr. King 
 of New York) introduced the following bill; which was referred to the 
                    Committee on Financial Services

_______________________________________________________________________

                                 A BILL


 
  To ensure stability in FHA maximum mortgage amount limitations for 
          areas experiencing decreases in median home prices.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Stabilizing FHA Loan Limit 
Calculations Act of 2014''.

SEC. 2. FHA MAXIMUM MORTGAGE AMOUNT LIMITATIONS.

    Paragraph (2) of section 203(b) of the National Housing Act (12 
U.S.C. 1709(b)(2)) is amended--
            (1) in subparagraph (A)(i), by inserting before ``; or'' 
        the following: ``; except that with respect to 2014 and each 
        year thereafter, the median house price for any size residence 
        for an area shall, for purposes of this clause, be considered 
        to be equal to the greatest median house price for such size 
        residence for such area used by the Secretary for purposes of 
        determining the dollar amount limitation on the principal 
        obligation for purposes of this section for 2013 (pursuant to 
        section 238 of Public Law 112-55; 125 Stat. 702), or for any 
        year thereafter before the assignment of the Federal Housing 
        Administration case number for the mortgage involved''; and
            (2) by adding at the end the following undesignated 
        paragraph:
            ``Notwithstanding any other provision of law, if the 
        Secretary determines, for any geographic area that is smaller 
        than an area for which dollar amount limitations on the 
        principal obligation of a mortgage are determined under this 
        paragraph, that a higher such maximum dollar amount limitation 
        is warranted for any particular size or sizes of residences in 
        such sub-area by higher median home prices in such sub-area, 
        the Secretary may increase the maximum dollar amount limitation 
        for such size or sizes of residences for such sub-area that is 
        otherwise in effect (including pursuant to the first sentence 
        of this paragraph), but in no case to an amount that exceeds 
        the amount specified in subparagraph (A)(ii) of this 
        paragraph.''.
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