H.R. 2461: Manufactured Housing Tenant’s Bill of Rights Act of 2025

This bill, known as the Manufactured Housing Tenant’s Bill of Rights Act of 2025, proposes regulations aimed at ensuring consumer protections for residents of manufactured home communities. The main points of the bill are as follows:

Covered Loan Programs

The bill establishes that no loans for the construction, rehabilitation, or purchase of manufactured home communities will be eligible for federal backing unless the owners agree to implement specific consumer protections in lease agreements with residents. This applies to loans that fall under certain federal programs.

Minimum Consumer Protections

The bill outlines a series of minimum protections that must be included in lease agreements:

• One-year lease terms that automatically renew unless there is a valid reason for non-renewal.
• Written notice required for any new charges or rent increases at least 60 days in advance, with additional notice if increases are significant.
• A five-day grace period for rent payments.
• A right for tenants to remedy rent payment defaults within 15 days of the due date.
• Rights for tenants who own manufactured homes to sell their homes without relocating them from the community, including posting "For Sale" signs.
• Advance notice of any school or community closures or sales.
• Protection against termination of tenancy without valid reasons as outlined in the lease agreement.

Pricing Incentives

The bill proposes that any pricing discounts on loans should reward those owners who offer resident protections that exceed the minimum requirements established in the bill. Covered loan programs will not offer discounts for those who do not comply with these standards after a set date.

Penalties for Non-Compliance

Entities that fail to comply with these consumer protections may face severe penalties, including:

• Prohibition from securing federal financing for a set period.
• Monetary penalties based on violations, which may include refunds of overcharged rents or penalties owed to tenants due to non-compliance.

Manufactured Home Community Lending Standards Commission

The legislation establishes a commission tasked with proposing additional consumer protection standards for manufactured home communities. This commission will report to Congress and will consist of appointed members, including government officials and experts in housing and consumer protection.

Funding and Administration

No new funding is authorized for the implementation of this bill. Instead, it designates that existing funds available to the Department of Housing and Urban Development or the Federal Housing Finance Agency will be used to cover costs associated with the new regulations.

Standard Lease Development

The Director of the Federal Housing Finance Agency will work with relevant parties to create a standardized lease agreement that complies with the proposed consumer protections, ensuring easier access to federally backed financing for homes in manufactured home communities.

Implementation Timeline

Many provisions of this bill will take effect 180 days after it is enacted, giving time for borrowers to comply with the new consumer protection requirements.

Relevant Companies

• FNMA - Federal National Mortgage Association: Likely to be impacted as it is involved in financing and loans for manufactured housing.
• FMCC - Federal Home Loan Mortgage Corporation: As a major player in mortgage loans, this corporation would be directly affected by the compliance requirements set forth in the bill.