Page:United States Statutes at Large Volume 96 Part 2.djvu/82

 96 STAT. 1444

PUBLIC LAW 97-306—OCT. 14, 1982

GUARANTEED LOANS TO REFINANCE LIENS ON MANUFACTURED HOMES AND TO PURCHASE MANUFACTURED-HOME LOTS; CHANGE IN NOMENCLATURE

38 USC 1819.

Infra.

38 USC 1803.

Supra.

SEC. 406. (a) Section 1819(a) is amended— (1) in paragraph (1), by adding at the end the following new clause: "(G) To refinance in accordance with paragraph (5) of this subsection an existing loan that was made for the purchase of, and that is secured by, a manufactured home and to purchase a lot on which such manufactured home is or will be placed."; (2) in paragraph (2), by inserting "(other than the refinancing under clause (F) of such paragraph of an existing loan)" after "subsection"; (3) in paragraph (3), by striking out "(C) or (E)" and inserting in lieu thereof "(C), (E), or (G)"; and (4) by adding at the end the following new paragraph: "(5)(A) For a loan to be guaranteed for the purpose specified in paragraph (1)(G) of this subsection— "(i) the loan must be secured by the same manufactured home as was the loan being refinanced and such manufactured home must be owned and occupied by the veteran as such veteran's home; and "(ii) the amount of the loan may not exceed an amount equal to the sum of— "(I) the purchase price of the lot, "(II) the amount (if any) determined by the Administrator to be appropriate under paragraph (2) of this subsection to cover the cost of necessary preparation of such lot, "(III) the balance of the loan being refinanced, and "(IV) such closing costs (including any discount permitted pursuant to section 1803(c)(3)(E) of this title) as may be authorized by the Administrator, under regulations which the Administrator shall prescribe, to be included in such loan. "(B) When a loan is made to a veteran for the purpose specified in paragraph (1)(G) of this subsection, and the loan being refinanced was guaranteed, insured, or made under this section, the portion of the loan made for the purpose of refinancing such loan may be guaranteed by the Veterans' Administration under this chapter without regard to the amount of outstanding guaranty entitlement available for use by such veteran, and the amount of such veteran's guaranty entitlement shall not be charged as a result of any guaranty provided for such portion of such loan. For the purposes of section 18020b) of this title, such portion of such loan shall be deemed to have been obtained with the guaranty entitlement used to obtain the loan being refinanced.". (b) Section 1803(c)(3) is amended— (1) by striking out "used:" in the matter preceding clause (1) and inserting in lieu thereof "used—"; (2) by striking out "or" at the end of clause (C); (3) by striking out the period at the end of clause (D) and inserting in lieu thereof a semicolon and "or"; and (4) by adding at the end the following new clause: "(E) to refinance indebtedness and purchase a manufacturedhome lot pursuant to section 1819(a)(l)(G) of this title, but only

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