Contact us

Chenoa Fund

Chenoa Fund
912 W. Baxter Drive, South Jordan, Utah 84095

HUD Mortgagee Letter 2019-06

If you are a borrower affected by the HUD Mortgagee letter please visit this link to tell us your story and how you've harmed: For Were You Affected by the New Mortgagee Letter? >>

HUD released Mortgagee Letter 2019-06 on April 18th, 2019, which gives additional guidance on the provision of down payment assistance. The Mortgagee Letter appears to be an attempt by HUD to put Native American programs back on the reservation.   We recognize that HUD issuance of Mortgagee Letter 2019-06 has caused confusion and concern with how this mortgagee letter is being interpreted with respect to the Chenoa Fund. Even if the the Mortgagee Letter is interpreted to restrict Chenoa Fund from providing down payment assistance, it only affects loans with a case number issued AFTER April 17, 2019, meaning that if a loan has a case number issued on or before this date, the loan will still be insured and purchased by us.   HUD’s attempt to implement policy restricting governmental entities to operating within a specific jurisdiction violates the Administrative Procedures Act and restricts government DPA programs in an arbitrary and capricious manner. In addition, HUD failed to comply with an Executive Order requiring tribal consultation. CBC Mortgage agency is looking at all of its options, including litigation.   We echo industry concern regarding the manner in which FHA rules are being promulgated recently, such as the sudden AUS changes and now DPA, which are causing significant disruption to the ability of lenders to make commitments to borrowers. Hundreds, if not thousands of buyers are being adversely impacted by sudden changes in rules, with no regard to existing pipelines.   This new mortgagee letter is even more absurd. Effective immediately, HUD is requiring that all 1500 government DPA programs have an attorney opinion in the file for new FHA loans. This will wreak havoc on the closings of thousands of borrowers while governmental agencies scramble to obtain these opinions. CBC Mortgage Agency is looking to industry participants for support in getting this mortgagee letter withdrawn.   For more information, please following the links below. If you would like to lend your support to our efforts, please email   Links

Show support for a withdrawal of Mortgagee Letter 2019-06

Withdrawal Letter Templates

Key Contact Information

House and Senate

Senate Banking Committee Correspondents Letter=

House Financial Services Committee Correspondents Letter

Trade Associations



  •     Scott Olson


  •    David Horne







Department of Housing and Urban Development