---
kind: "section"
citation: "12 U.S.C. § 1715z–13"
title: "12"
title_heading: "Banks and Banking"
number: "1715z–13"
heading: "Single family mortgage insurance on Indian reservations"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/12/1715z-13"
units:
  - "Chapter 13 — National Housing"
  - "Subchapter II — Mortgage Insurance"
---

# §1715z–13. Single family mortgage insurance on Indian reservations

- (a) **One- to four-family residence; eligibility—** The [Secretary](/usc/12/1715z–22a.md?p=4), subject to such special conditions as the [Secretary](/usc/12/1715z–22a.md?p=4) may prescribe, may insure under any provision of this subchapter that authorizes such insurance, a [mortgage](/usc/12/1707.md?p=a) covering a property upon which there is located a one- to four-family residence, without regard to any limitation in this chapter relating to marketability of title or any other limitation in this chapter that the [Secretary](/usc/12/1715z–22a.md?p=4) determines is contrary to promoting the availability of such insurance on Indian reservations if the [mortgage](/usc/12/1707.md?p=a) (1) is executed by an Indian tribe and the property is located on trust or otherwise restricted land; or (2) is executed by a member of an Indian tribe who will use the property as a principal residence and the property is on trust or otherwise restricted land.
- (b) **Construction advances; percentage limitation on amount of principal obligation; pledge of income from tribal resources or assets—** Notwithstanding any other provision of this chapter, with respect to [mortgages](/usc/12/1707.md?p=a) covering a property upon which there is located a one- to four-family residence—
  - (1) the [Secretary](/usc/12/1715z–22a.md?p=4) may insure and make commitments to insure under this subchapter pursuant to this section advances made during construction where the [Secretary](/usc/12/1715z–22a.md?p=4) determines that the proposed construction is otherwise acceptable and meets an applicable tribal or national model building code, and that no feasible financing alternative is available;
  - (2) the applicable percentage limitation on the amount of the principal obligation of a [mortgage](/usc/12/1707.md?p=a) based on the appraised value or replacement cost, as appropriate, of a one- to four-family owner-occupied residence contained in this subchapter shall apply in the case of all [mortgages](/usc/12/1707.md?p=a) insured pursuant to this section without regard to whether the residences are owner-occupied where the residences are owned by the tribe; and
  - (3)
    - (A) the [Secretary](/usc/12/1715z–22a.md?p=4) may require an Indian tribe, only as a condition of insurance made under this subchapter pursuant to this section, to pledge income from tribal resources or income from tribal assets not subject to a restriction by the [Secretary](/usc/12/1715z–22a.md?p=4) of the Interior or pledge grants under title I of the Housing and Community Development Act of 1974 [[42 U.S.C. 5301](/usc/42/5301.md) et seq.] or any other Federal grant program administered by the [Secretary](/usc/12/1715z–22a.md?p=4) of Housing and Urban Development to be used to reimburse the [Secretary](/usc/12/1715z–22a.md?p=4) for any [mortgage](/usc/12/1707.md?p=a) insurance claims paid in connection with residences insured pursuant to this section; or
    - (B) in the case of an individual Indian [mortgagor](/usc/12/1707.md?p=b), the [Secretary](/usc/12/1715z–22a.md?p=4) may require a pledge of his or her share of distributed income from tribal resources or income from tribal assets, excluding any Federal grants received by the tribe.
- (c) **Lack of tribal or trust fund income—** The [Secretary](/usc/12/1715z–22a.md?p=4) may not refuse to insure a [mortgage](/usc/12/1707.md?p=a) under this section to an individual home purchaser because there is no distributed tribal or trust fund income attributable to that purchaser.
- (d) **Availability of tribal eviction procedures—** Before making any commitment to insure a [mortgage](/usc/12/1707.md?p=a) under this section with respect to property located on trust or otherwise restricted land, the [Secretary](/usc/12/1715z–22a.md?p=4) shall require a showing by the tribe that it has adopted eviction procedures to be used in the event of a default.
- (e) **Assumption of mortgage—** A [mortgage](/usc/12/1707.md?p=a) insured under this section may be assumed, subject to [credit](/usc/12/5481.md?p=7) approval by the lender and the consent of the tribe to an assumption of the existing lease or the grant of a new lease, without an adjustment of the interest rate. Any other sale of a property subject to a [mortgage](/usc/12/1707.md?p=a) insured under this section may be made only if a new lease is granted, except that a sale following a foreclosure may be accompanied by an assumption of the lease with the consent of the tribe.
- (f) **Insurance of mortgage as obligation of General Insurance Fund—** Notwithstanding any other provision of this chapter, the insurance of a [mortgage](/usc/12/1707.md?p=a) using the authority contained in this section shall be the obligation of the Mutual [Mortgage](/usc/12/1707.md?p=a) Insurance Fund. The [mortgagee](/usc/12/1707.md?p=b) shall be eligible to receive the benefits of insurance as provided in [section 1710 of this title](/usc/12/1710.md) with respect to [mortgages](/usc/12/1707.md?p=a) insured pursuant to this section, except that all references in [section 1710 of this title](/usc/12/1710.md) to [section 1709 of this title](/usc/12/1709.md) shall be construed to refer to the section under which the [mortgage](/usc/12/1707.md?p=a) is insured.
- (g) **Availability of status and payment history of loans; entitlement to benefit of insurance; reinstatement of loan upon cure of default; garnishment proceedings; foreclosure proceedings—**
  - (1) The [Secretary](/usc/12/1715z–22a.md?p=4) shall make information regarding the status and payment history of loans insured under this section available to local [credit](/usc/12/5481.md?p=7) [bureaus](/usc/12/5481.md?p=2) and prospective creditors. Prior to accepting assignment of a [mortgage](/usc/12/1707.md?p=a), the [Secretary](/usc/12/1715z–22a.md?p=4) shall require [mortgagees](/usc/12/1707.md?p=b) to submit documentation that [mortgagors](/usc/12/1707.md?p=b) have been counseled in a face-to-face interview, informed of the provisions of this subsection or other available assistance, and provided with the names and addresses of officials of the Department of Housing and Urban Development to whom further communications shall be addressed.
  - (2) Notwithstanding the requirement for conveyance of title under [section 1710 of this title](/usc/12/1710.md), a [mortgagee](/usc/12/1707.md?p=b) under this section shall be entitled to receive the benefit of insurance under this section in the case of a [mortgage](/usc/12/1707.md?p=a) which is more than 90 days in default upon conveyance of the lease agreement and the [mortgage](/usc/12/1707.md?p=a) documents.
  - (3) In the event that any default is cured, the [Secretary](/usc/12/1715z–22a.md?p=4) shall seek to reinstate the loan with the [mortgagee](/usc/12/1707.md?p=b) or another [mortgagee](/usc/12/1707.md?p=b). For purposes of this paragraph, the [Secretary](/usc/12/1715z–22a.md?p=4) may provide appropriate financial incentives to reinstate the loan commensurate with sound management of the General Insurance Fund.
  - (4) If the [Secretary](/usc/12/1715z–22a.md?p=4) determines that a [mortgagor](/usc/12/1707.md?p=b) is not making a good-faith effort to cure a default, and that trust fund or tribal income is available under [subsection (b)(3)(B)](#b-3-B), the [Secretary](/usc/12/1715z–22a.md?p=4) shall commence proceedings for the garnishment of the [mortgagor](/usc/12/1707.md?p=b)’s distributed share of tribal or trust fund income in order to collect loan payments that are past due. Proceedings under this paragraph may be instituted in a tribal court, court of competent jurisdiction designated by the tribe, or Federal district court.
  - (5) If the [Secretary](/usc/12/1715z–22a.md?p=4) determines such action is necessary to protect the General Insurance Fund from undue loss, the [Secretary](/usc/12/1715z–22a.md?p=4) may initiate foreclosure proceedings with respect to any [mortgage](/usc/12/1707.md?p=a) acquired under this subsection. Such proceeding may take place in a tribal court, a court of competent jurisdiction, or Federal district court. Any such court shall have jurisdiction to convey to the [Secretary](/usc/12/1715z–22a.md?p=4) the remaining life of a lease on the real property and to order eviction of the delinquent [mortgagor](/usc/12/1707.md?p=b).
- (h) **Premium charge for insurance; report to Congress—** In the administration of this section, the [Secretary](/usc/12/1715z–22a.md?p=4) shall establish a premium charge for insurance that will be sufficient to cover the full costs of the [mortgage](/usc/12/1707.md?p=a) insurance program under this section, except that such charge may not exceed 3 percent per annum of the principal amount of the [mortgage](/usc/12/1707.md?p=a) outstanding at any time. Not later than September 30, 1984, the [Secretary](/usc/12/1715z–22a.md?p=4) shall determine and report to the Congress on the feasibility of eliminating any excess amount of the premium under this section over the premium under [section 1709 of this title](/usc/12/1709.md). In the event such premiums are not sufficient to cover the full costs of the [mortgage](/usc/12/1707.md?p=a) insurance program under this section, the [Secretary](/usc/12/1715z–22a.md?p=4) shall make recommendations to the Congress about changes to the program.
- (i) **“Indian tribe” and “trust or otherwise restricted land” defined—** For purposes of this section:
  - (1) The term “Indian tribe” means any Indian or Alaska native tribe, band, nation, or other organized group or community of Indians or Alaska natives recognized as eligible for the services provided to Indians or Alaska natives by the [Secretary](/usc/12/1715z–22a.md?p=4) of the Interior because of its status as such an entity, or that was an eligible recipient under [chapter 67](/usc/31/chstV-ch67.md) of title 31, prior to the repeal of such chapter.
  - (2) The term “trust or otherwise restricted land” means (A) that area of land, as defined by the [Secretary](/usc/12/1715z–22a.md?p=4) of the Interior, over which an Indian tribe is recognized by the United States as having governmental jurisdiction; (B) land held in trust for the benefit of any Indian tribe or individual or held by any Indian tribe or individual subject to a restriction by the United States against alienation; or (C) land acquired by Alaska natives under the Alaska Native Claims Settlement Act [[43 U.S.C. 1601](/usc/43/1601.md) et seq.] or any other land acquired by Alaska natives pursuant to statute by virtue of their unique status as Alaska natives.

## Source credit

(June 27, 1934, ch. 847, title II, § 248, as added Pub. L. 98–181, title I [title IV, § 422], Nov. 30, 1983, 97 Stat. 1214; amended Pub. L. 99–272, title XIV, § 14001(b)(7), Apr. 7, 1986, 100 Stat. 329; Pub. L. 100–242, title IV, §§ 413(c), 429(i), Feb. 5, 1988, 101 Stat. 1906, 1919; Pub. L. 110–289, div. B, title I, § 2119(b), July 30, 2008, 122 Stat. 2835.)

## Notes

### Editorial Notes

### References in Text

The Housing and Community Development Act of 1974, referred to in subsec. (b)(3)(A), is Pub. L. 93–383, Aug. 22, 1974, 88 Stat. 633. Title I of the Housing and Community Development Act of 1974 is classified principally to chapter 69 (§ 5301 et seq.) of Title 42, The Public Health and Welfare. For complete classification of this Act to the Code, see Short Title note set out under section 5301 of Title 42 and Tables.

Chapter 67 of title 31, referred to in subsec. (i)(1), was repealed by Pub. L. 99–272, title XIV, § 14001(a)(1), Apr. 7, 1986, 100 Stat. 327. A new chapter 67 of Title 31, Money and Finance, was added by Pub. L. 103–322, title III, § 31001(a), Sept. 13, 1994, 108 Stat. 1859.

The Alaska Native Claims Settlement Act, referred to in subsec. (i)(2), is Pub. L. 92–203, Dec. 18, 1971, 85 Stat. 688, which is classified generally to chapter 33 (§ 1601 et seq.) of Title 43, Public Lands. For complete classification of this Act to the Code, see Short Title note set out under section 1601 of Title 43 and Tables.

### Amendments

2008—Subsec. (f). Pub. L. 110–289 substituted “Mutual Mortgage Insurance Fund” for “General Insurance Fund established in section 1735c of this title” and struck out “(1) all references in section 1710 of this title to the Mutual Mortgage Insurance Fund or the Fund shall be construed to refer to the General Insurance Fund; and (2)” after “except that”.

1988—Subsec. (a)(1). Pub. L. 100–242, § 429(i)(1), substituted “land” for “lands”.

Subsec. (a)(2). Pub. L. 100–242, § 429(i)(2), substituted “on trust or otherwise restricted land” for “on trust lands or otherwise restricted land”.

Subsec. (d). Pub. L. 100–242, § 429(i)(3), substituted “trust or otherwise restricted land” for “tribal or trust land”.

Subsec. (f). Pub. L. 100–242, § 413(c)(3), added subsec. (f). Former subsec. (f) redesignated (g).

Subsec. (g). Pub. L. 100–242, § 413(c)(1), (2), redesignated former subsec. (f) as (g) and substituted “General Insurance Fund” for “insurance fund” in pars. (3) and (5). Former subsec. (g) redesignated (h).

Subsecs. (h), (i). Pub. L. 100–242, § 413(c)(2), redesignated former subsecs. (g) and (h) as (h) and (i), respectively.

1986—Subsec. (h)(1). Pub. L. 99–272 substituted “was an eligible recipient under chapter 67 of title 31, prior to the repeal of such chapter” for “is an eligible recipient under chapter 67 of title 31”.

### Statutory Notes and Related Subsidiaries

### Effective Date of 1986 Amendment

Amendment by Pub. L. 99–272 effective Oct. 18, 1986, see section 14001(e) of Pub. L. 99–272.