HUD Archives: News Releases

HUD No. 18-107
HUD Public Affairs
(202) 708-0685
For Release
September 21, 2018

HUD APPROVES AGREEMENT BETWEEN CALIFORNIA MORTGAGE AND APPRAISAL COMPANIES AND HOMEOWNERS LLC and Appraisal Management Services of America, Inc. to pay over $240,000 for allegedly refusing to refinance loans because of race and homes' location on Native American lands

WASHINGTON - The U.S. Department of Housing and Urban Development (HUD) has approved a Conciliation Agreement resolving claims brought by three homeowners, a couple and an individual, against, LLC, and Appraisal Management Services of America, Inc. The three alleged that the lender refused to refinance their homes because they are on Native American lands. The individual also claimed that would not refinance his house because he is Native American. Read the agreement.

The Fair Housing Act prohibits housing discrimination in mortgage lending and real estate-related transactions based on race, color, national origin, religion, sex, familial status and disability.

"A homeowner's creditworthiness and ability to pay should be the only thing that matters when they apply for a mortgage, not their race or the fact that their home is located on Native American lands," said Anna María Farías, HUD's Assistant Secretary for Fair Housing and Equal Opportunity. "Today's agreement sends a loud and clear message that HUD is committed to ensuring that lenders and other companies involved in the home mortgage process meet their obligations under the Fair Housing Act."

The cases came to HUD's attention when the couple from Belcourt, North Dakota, and the homeowner from Hoopa, California, filed complaints alleging that loanDepot,com refused to refinance their homes, which they owned in fee simple but within American Indian reservations. In one case, Appraisal Management Services of America informed that it could not provide an appraisal on the home because it was on "Indian land." and Appraisal Management Services of America deny discriminating against the three homeowners.

Under the terms of the agreement, will pay the couple and the other homeowner $30,000 each and fund a loan subsidy program in the amount of $40,000 that will benefit prospective borrowers on American Indian Reservations. also will provide $240,000 to support outreach programs that improve housing conditions, teach financial literacy, and provide home ownership education to American Indians on and around reservations. In addition, will revise its policies regarding the underwriting of home mortgage loans on land located within the boundaries of American Indian reservations to ensure that its policies are consistent with the requirements of the Fair Housing Act.

Appraisal Management Services of America, Inc., will revise its policies regarding appraisals for mortgages on homes located on American Indian reservations and no longer contract with appraisers who refuse to conduct appraisals on reservations.

April 2018 marked the 50th anniversary of the Fair Housing Act. In commemoration, HUD, local communities, housing advocates, and fair housing organizations across the country have coordinated a variety of activities to enhance awareness of fair housing rights, highlight HUD's fair housing enforcement efforts, and end housing discrimination in the nation. For a list of planned activities, log onto

Persons who believe they have experienced discrimination may file a complaint by contacting HUD's Office of Fair Housing and Equal Opportunity at (800) 669-9777 (voice) or (800) 927-9275 (TTY).


HUD's mission is to create strong, sustainable, inclusive communities and quality affordable homes for all. More information about HUD and its programs is available on the Internet at and

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Content Archived: January 1, 2020