---
kind: "section"
citation: "24 C.F.R. § 206.117"
title: "24"
number: "206.117"
heading: "General."
url: "https://uscodex.org/cfr/24/206.117"
---

# §206.117. General.


The Commissioner is required by statute to take any action necessary to provide a borrower with funds to which the borrower is entitled under the mortgage and which the borrower does not receive because of the default of the mortgagee. The Commissioner may hold a second mortgage to secure repayment by the borrower under [§ 206.27(d)](/cfr/24/206.27.md?p=d). Where the Commissioner does not hold a second mortgage, but makes a payment to the borrower, and such payment is not reimbursed by the mortgagee, the Commissioner shall accept assignment of the first mortgage.


## Notes

### Authority

Authority: 12 U.S.C. 1715b, 1715z-20; 42 U.S.C. 3535(d)

### Source

Source: 82 FR 7117, Jan. 19, 2017, unless otherwise noted.