source:
  type: guide
  id: usda-hb-3555-13.6
  authority: USDA SFH Guaranteed Loan Program Technical Handbook HB-1-3555 ¶13.6 —
    Loans On Native American Restricted Land
  description: USDA SFH Guaranteed Loan Program Technical Handbook HB-1-3555 ¶13.6
    — Loans On Native American Restricted Land.
  coverage_tier: operative
obligations:
- id: usda-hb-3555-13.6-full
  canonical_id: usda-hb-3555-13.6-full
  section: USDA SFH Guaranteed Loan Program Technical Handbook HB-1-3555 ¶13.6 — Loans
    On Native American Restricted Land
  type: do
  tags:
  - regulator-direct
  - usda
  - usda-handbook
  - corpus-expansion
  - tier-operative
  primary_source:
    tier: 1
    authority: USDA SFH Guaranteed Loan Program Technical Handbook HB-1-3555 ¶13.6
      — Loans On Native American Restricted Land
    source_class: usda-handbook
    source_url: https://www.rd.usda.gov/sites/default/files/hb-1-3555_consolidated.pdf
    snapshot_id: 0466acd1ea2d17a4
    fetched_at: '2026-05-25T14:10:13Z'
    content_hash: sha256:22ac6f998ff72578e318fca138ebe80fb18ae2fc701eb5936172f1842679a13a
    paragraph_quote: '13.6 LOANS ON NATIVE AMERICAN RESTRICTED LAND A. Definition
      Native American restricted lands are lands in which title is held by the United
      States in trust for an Indian tribe or which is held by an Indian tribe or individual
      subject to a restriction by the United States against sale, transfer, or encumbrance.
      B. Requirements Trust or restricted land must remain in trust or restricted
      status. The mortgage, deed of trust, leasehold interest, or other security interest
      must be approved by the Secretary of the Interior. For loans to Native Americans
      on restricted or trust land, the lender must obtain: x Evidence that the tribe
      has enacted legally binding and effective foreclosure procedures and will enforce
      those procedures upon notice of default from a lender. x Evidence that the tribe
      has enacted legally binding and effective eviction procedures and will enforce
      those procedures upon notice of default from a lender. x Evidence that the tribe
      has adopted procedures ensuring that the guaranteed loan will always have first
      lien priority (if applicable) and will be satisfied before all other property
      debts (with the exception of tribal taxes) or has adopted legislation requiring
      the tribe to follow state or local priority of lien procedures. x A copy of
      the tribe''s lease for use on residential land. x The lender will adhere to
      the tribe''s mortgage, foreclosure, and eviction procedures. x The mortgage
      must cover both property improvements and the leasehold interest in the land.
      x The leasehold estate must constitute real property, be subject to the mortgage
      lien, and be insured by a title policy. x The leasehold estate must be assignable
      or transferable. HB-1-3555 (03-09-16) SPECIAL PN 13-7 Revised (10-12-23) PN
      594 Guidance documents lack the force and effect of law, unless expressly authorized
      by statute or incorporated into a contract. USDA may not cite, use, or rely
      on any guidance that is not available through their guidance portal, except
      to establish historical facts. x The lease cannot be terminated except for nonpayment
      of lease rents. The lease must: x Have an unexpired term at least equal to the
      term of the loan. Leases for a period of 25 years, renewable for a second 25
      years are permissible. x Provide for lender notification of any default by the
      borrower and the option to cure the default. x Provide that the borrower will
      pay taxes, insurance, and association dues (as applicable) on the land and retain
      voting rights in the association. x Provide that the leasehold can be transferred,
      mortgaged, and sublet without restriction. x State rental increases in exact
      dollar amounts. x Be recorded and constitute an interest in real estate. x Permit
      mortgaging of the leasehold. x Provide for written notice of default. x Provide
      renewal options for the leasehold mortgagee.'
  judgment: false
