[Code of Federal Regulations]

[Title 24, Volume 4]

[Revised as of April 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR1005.106]



[Page 807]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

CHAPTER IX--OFFICE OF ASSISTANT SECRETARY FOR PUBLIC AND INDIAN HOUSING, 

               DEPARTMENT OF HOUSING AND URBAN DEVELOPMENT

 

PART 1005_LOAN GUARANTEES FOR INDIAN HOUSING--Table of Contents

 

Sec.  1005.106  What is the Direct Guarantee procedure?



    (a) General. A loan may be processed under a Direct Guarantee 

procedure approved by the Department, under which the Department does 

not issue commitments to guarantee or review applications for loan 

guarantees before mortgages are executed by lenders approved for Direct 

Guarantee processing. The Department will approve a loan before the loan 

is guaranteed.

    (b) Mortgagee sanctions. Depending on the nature and extent of the 

noncompliance with the requirements applicable to the Direct Guarantee 

procedure, as determined by the Department, the Department may take such 

actions as are deemed appropriate and in accordance with published 

guidelines.



[63 FR 48990, Sept. 11, 1998]