[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8532 Introduced in House (IH)]
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119th CONGRESS
2d Session
H. R. 8532
To amend title 38, United States Code, to align elements of the housing
loan program of the Department of Veterans Affairs with requirements of
the Federal Housing Administration, and for other purposes.
_______________________________________________________________________
IN THE HOUSE OF REPRESENTATIVES
April 27, 2026
Mr. Van Orden (for himself, Mr. Bost, Mr. Barrett, Mrs. Kiggans of
Virginia, and Mr. Ciscomani) introduced the following bill; which was
referred to the Committee on Veterans' Affairs
_______________________________________________________________________
A BILL
To amend title 38, United States Code, to align elements of the housing
loan program of the Department of Veterans Affairs with requirements of
the Federal Housing Administration, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``VA Home Loan Affordability Act''.
SEC. 2. ALIGNMENT OF HOUSING LOAN PROGRAM OF THE DEPARTMENT OF VETERANS
AFFAIRS WITH REQUIREMENTS OF THE FEDERAL HOUSING
ADMINISTRATION.
(a) Prohibition of Requirement of Third Party Verification of
Lender Fees.--Section 3703(a)(2)(B) of title 38, United States Code, is
amended--
(1) by inserting ``in regulations'' after ``Secretary may
prescribe''; and
(2) by adding at the end the following: ``In prescribing
such regulations regarding fees paid by a veteran borrower to
lender, the Secretary may not require documentation of such
fees by a third party.''
(b) Refinancing of Housing Loans.--
(1) Authority to waive appraisal.--Section 3709(a) of title
38, United States Code, is amended--
(A) by redesignating paragraphs (1) through (3) as
subparagraphs (A) through (C), respectively;
(B) by inserting ``(1)'' before ``Except''; and
(C) by adding at the end the following new
paragraph:
``(2) The Secretary may authorize the refinancing of a loan
described in paragraph (1) without an appraisal.''.
(2) Minimum interest rate for adjustable rate mortgage.--
Section 3709(b)(3) of title 38, United States Code, is amended
by striking ``200 basis points'' and inserting ``75 basis
points''.
(c) Expansion of Guaranteed Loans for Condominiums.--Section
3710(a)(6) of title 38, United States Code, is amended, in subsection
(a)(6), by striking ``, if such development or project is approved by
the Secretary under criteria which the Secretary shall prescribe in
regulations''.
(d) Maximum Closing Costs and Seller Fees for Guaranteed Loans.--
Section 3710(b) of title 38, United States Code, is amended--
(1) in paragraph (7)(C)(ii), by striking ``; and'' and
inserting a semicolon;
(2) in paragraph (8), by striking the period at the end and
inserting a semicolon; and
(3) by adding at the end the following new paragraphs:
``(9) the closing costs actually paid by the veteran do not
exceed 1.5 percent of the amount of the loan; and
``(10) the seller fees actually paid by the veteran do not
exceed six percent of the outstanding balance of the loan.''.
(e) Regular Prescription of Debt-to-Income Ratios.--Section
3710(g)(3)(A), of title 38, United States Code, is amended by inserting
``, reviewed and prescribed not less than once every two years,'' after
``debt-to-income ratios''.
(f) Minimum Experience of an Appraiser Required.--Section
3731(a)(1) of title 38, United States Code, is amended by striking
``certification of an appropriate number of years'' and inserting ``a
certificate or license issued by a State''.
(g) Review of Appraisal Minimum Property Requirements.--Not later
than 90 days after the date of the enactment of this Act, the Secretary
of Veterans Affairs shall--
(1) review regulations prescribed under section 3710(b)(4)
of title 38, United States Code, regarding the suitability of
property; and
(2) prescribe new such regulations that the Secretary
determines appropriate.
(h) Plan To Modernize IT for Housing Loans.--Not later than 180
days after the date of the enactment of this Act, the Secretary of
Veterans Affairs shall submit to the Committees on Veterans Affairs of
the Senate and House of Representatives the plan of the Secretary to
modernize the information technology used to administer housing loans
under chapter 37 of title 38, United States Code.
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