S. 5592 — American Promise Mortgage Act

This section defines terms used throughout the Act, including a first-time homebuyer as an individual who has never owned a principal residence, an eligible family as 1 or 2 individuals, an eligible home as a principal residence purchased at or below the area median single-family price, an eligible loan as a fixed-rate 30-year mortgage with at least a 3.5 percent down payment, and an eligible mortgagor as a first-time homebuyer holding a Homeownership Promise Account who has completed approved housing counseling and has a credit score of at least 500.

This section authorizes the Secretary to make loans to eligible mortgagors for purchasing a 1-family residence, a manufactured home permanently affixed to a mortgagor-owned lot, or a manufactured home in a nonprofit, government, or resident-owned community with a lease term exceeding the loan term, all to serve as the mortgagor's principal residence, and authorizes appropriations as necessary.