PUBLIC LAW 101-625—NOV. 28, 1990 104 STAT. 4137 (ii) greater than or equal to 90 percent of such value but equal to or less than 95 percent of such value, for the first 12 years of the mortgage term; and (iii) greater than 95 percent of such value, for the first 30 years of the mortgage term. (3) REFUNDS.— With respect to any mortgage subject to premiums under this subsection, the Secretary shall refund all of the unearned premium charges paid on a mortgage pursuant to paragraph (1)(A) or (2)(A) upon payment in full of the principal obligation of the mortgage prior to the maturity date. (c) REGULATIONS.—The Secretary shall issue regulations to carry out this section and the amendments made by this section not later than the expiration of the 90-day period beginning on the date of the enactment of this Act. SEC. 326. LIMITATION ON SECONDARY RESIDENCES. (a) LIMITATION ON SECONDARY RESIDENCES.—Section 203(g)(1) of the National Housing Act (12 U.S.C. 1709(g)(1)) is amended by inserting after the period at the end the following new sentence: "In making this determination with respect to the occupancy of secondary residences, the Secretary may not insure mortgages with respect to such residences unless the Secretary determines that it is necessary to avoid undue hardship to the mortgagor. In no event may a secondary residence under this subsection include a vacation home, as determined by the Secretary.". (b) APPLICABILITY. —The amendments made by subsection (a) shall 12 USC 1709 apply only with respect to— note. (1) mortgages insured— (A) pursuant to a conditional commitment issued after the expiration of the 60-day period beginning on the date of the enactment of this Act; or (B) in accordance with the direct endorsement program, if the approved underwriter of the mortgages signs the appraisal report for the property after the expiration of the 60-day period beginning on the date of the enactment of this Act; and (2) the approval of substitute mortgagors, if the original mortgagor was subject to such amendments. (c) TRANSITION PROVISIONS.—Any mortgage insurance provided 12 USC 1709 under title II of the National Housing Act before the expiration of note. the 60-day period beginning on the date of the enactment of this Act, shall continue to be governed (to the extent applicable) by the provisions of section 203(g)(1) of the National Housing Act, as such provisions existed before the date of the enactment of this Act. SEC. 327. MORTGAGE COUNSELING FOR DELINQUENT MORTGAGORS. Section 203(r) of the National Housing Act (12 U.S.C. 1709(r)) is amended— (1) by striking "and" at the end of paragraph (2); (2) by striking the period at the end of paragraph (3) and inserting "; and"; and (3) by adding at the end the following new paragraph: "(4) providing counseling, either directly or through third parties, to delinquent mortgagors whose mortgages are insured under this section 203 (12 U.S.C. 1709), using the Fund to pay for such counseling.".
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