Summary: In 1996, private lenders provided $785 billion to help families and individuals buy homes in the United States. Most of this money came from private lending institutions. However, for the 1.2 million Native Americans living on trust lands, private institutions have rarely supplied conventional home purchase loans. As a result, government assistance is almost always needed to provide homeownership opportunities for these Native Americans. In response to congressional interest in expanding homeownership opportunities for Native Americans on trust lands through private conventional lending, this report answers the following questions: How many conventional home purchase loans have private lenders made to Native Americans on trust lands? What are the major barriers to conventional home purchase loans to Native Americans on trust lands? What efforts are under way to facilitate conventional home purchase lending to Native Americans on trust lands? Will implementation of the Native American Housing Assistance and Self-Determination Act of 1996 lead to more conventional home purchase loans being made to Native Americans on trust lands. GAO also discusses whether the Bureau of Indian Affairs' backlog of requests for certifying documents affecting the legal status of trust lands has been a deterrent to conventional home purchase loans to Native Americans.
