HR 2791, the Homes for Heroes Act, increases the maximum VA home loan guaranty amount available to eligible veterans. It amends 38 U.S.C. § 3703(a)(1)(C) by changing the calculation for the guaranty limit from "25 percent of the Freddie Mac conforming loan limit" to "25 percent of the Freddie Mac conforming loan limit multiplied by 1.5." This effectively raises the maximum guaranteed loan amount by 50% for veterans using the VA home loan program. The bill directly affects veterans seeking home loans through the VA program who qualify for the standard guaranty.
The VA Home Loan Program Reform Act (HR 1815) establishes a new "Partial Claim Program" that allows the Department of Veterans Affairs to purchase up to 25% (or 30% for certain cases) of the unpaid principal balance on a VA-guaranteed home loan when a veteran is in default or at imminent risk of default. This partial payment helps prevent foreclosure while giving the VA a subordinate secured interest in the property, and requires veterans to go through a sequence of loss mitigation options before the VA can fully purchase the loan. The program includes provisions for audits, finality of VA decisions (not subject to judicial review), and a five-year sunset clause. The bill also requires the VA to submit a report on strategies to prevent veterans from being disadvantaged in home purchasing due to litigation.
This bill provides housing loans and education assistance to Black World War II veterans who were denied GI Bill benefits due to racial discrimination, or to their surviving spouses, children, or direct descendants. To qualify, applicants must certify they were denied benefits on racial grounds under the original 1944 GI Bill and apply within five years of the law's enactment. The Department of Veterans Affairs must implement these provisions within 90 days and report to Congress on participation and program costs. It specifically addresses documented historical discrimination where Black veterans were steered toward vocational training instead of college, with only 6% earning degrees compared to 19% of White veterans.
Fair Access to Co-ops for Veterans Act of 2025 This bill revives and makes permanent the authority of the Department of Veterans Affairs (VA) home loan guarantee program to guarantee loans for a veteran’s purchase of stock or membership in a cooperative housing corporation (i.e., co-op) for the purpose of entitling the veteran to occupy a single family residential unit. For purposes of the administration of such loans, the bill establishes a fee rate of the usual fee plus 3.25% of the total amount of the loan, treats such cooperative housing units as residential property for purposes of imposing restrictions and liabilities, and guarantees up to 25% of the amount of the loan for loans exceeding $144,000. Additionally, the bill requires the VA to advertise the availability of loan guarantees for cooperative housing unit loans, including by issuing guidance and notifying eligible veterans.
The Financial Empowerment and Protection Act requires service providers like utilities, internet companies, landlords, and mortgage lenders to allow consenting adults living together to open joint accounts for managing their services and bills. Both adults must agree to the account, which must be in both names, and providers must share all account information and online access with both parties upon request. The bill also prohibits housing providers from charging fees for early lease termination when a tenant is a victim of domestic violence, dating violence, sexual assault, or stalking. Individuals harmed by a provider’s failure to comply can seek up to $1,000 in damages per violation.
The Veterans Housing Stability Act of 2025 creates a new "Partial Claim Program" for veterans with VA-guaranteed home loans facing default or imminent default. Under this program, the VA may purchase up to 25% (or 30% for veterans already delinquent or in disaster areas) of the unpaid loan balance to prevent foreclosure. The veteran then repays this portion at loan maturity with no interest, while the VA secures a secondary lien on the property. The bill also adds civil penalties for loan holders who provide false information and requires the VA to establish mandatory loss mitigation procedures to help veterans avoid foreclosure. This directly affects veterans at risk of losing their homes and VA loan holders who must follow new administrative requirements.
HR 4167, the Expanding Access to Lending Options Act, amends the Federal Credit Union Act to extend the maximum time federally chartered credit unions can hold mortgage loans from 15 years to 20 years (or longer by NCUA regulation). This change directly affects federally chartered credit unions by allowing them to offer longer-term mortgage products to members. The key provision modifies Section 107(5) of the Federal Credit Union Act, specifically updating the time limit for mortgage loans held by credit unions. The bill also includes a non-binding sense of Congress statement emphasizing safety and soundness in NCUA oversight, but the core policy change is the extended mortgage holding period.
This bill expands eligibility for FEMA disaster assistance by broadening the types of evidence considered proof of property ownership for survivors without formal deeds. It allows applicants to submit documents like property tax receipts, mortgage records, insurance papers, or even death certificates (in states without will requirements) to demonstrate "constructive ownership" of their home. The bill also permits a simple signed declaration under penalty of perjury - without notarization - to support claims when other evidence is insufficient. These changes apply to disaster assistance funds appropriated after the bill's enactment, directly helping individuals affected by major disasters who lack traditional ownership documentation.
HR 5708, the Federal Employees Civil Relief Act, provides temporary protections for federal workers and contractors during government shutdowns. It suspends civil proceedings like evictions, mortgage foreclosures, student loan collections, and tax payments if the worker is furloughed or working without pay. During a shutdown (and for 30 days after), courts can pause these obligations or adjust payments to prevent harm, and lenders/insurers cannot penalize workers for missed payments due to the shutdown. The law directly affects federal employees whose income is disrupted by a shutdown, ensuring housing, loan, and tax protections while maintaining their civil rights.
The Housing Financial Literacy Act of 2025 modifies mortgage insurance premiums for first-time homebuyers who complete approved financial literacy counseling programs. It requires that such counseling be completed before signing a mortgage application or sales agreement. The bill reduces the mortgage insurance premium by 25 basis points (0.25%) below the standard rate established by the Secretary of Housing and Urban Development. This change directly affects first-time homebuyers who participate in qualifying housing counseling programs.
