Van Hollen Secures Senate Passage of Bills to Improve Homebuying Process for Veterans

WASHINGTON - Today, U.S. Senator Chris Van Hollen (D-Md.), a senior member of the Senate Committee on Banking, Housing, and Urban Affairs, released the following statement on the Senate passage of the 21^st Century ROAD to Housing Act, which includes two of his bills to help more veterans achieve homeownership. The 21st Century ROAD to Housing Act is a bipartisan legislative package to increase the nation's housing supply and improve housing affordability, among other priorities. Senator Van Hollen fought to include in this package his bipartisan VA Home Loan Awareness Act, which he introduced with Senator Tim Sheehy (R-Mont.), and the Veterans Affairs Loan Informed Disclosure (VALID) Act, which he introduced with Senator John Boozman (R-Ark.). Together, these bipartisan bills will better inform veterans of the VA Home Loan Program and ensure they are presented with the option to use it when they apply for a mortgage.

"Today, we took an important step forward in tackling our nation's housing challenges, from increasing the supply of homes to improving access to affordable housing options. Working Americans are too often faced with housing costs they simply cannot afford. This bipartisan package supports both renters and buyers through new programs and critical reforms. Within this legislation, I also worked to ensure we're better upholding our duty to support our veterans - securing the inclusion of my bipartisan bills that will help more veterans and their families secure affordable home loans. This package is an important first step, and we must continue to fight for affordable housing for the American people."

Background on Senator Van Hollen's VA Home Loan Awareness Act and VALID Act

Research has shown that 1 in 10 veterans have experienced homelessness, often years after completing service and returning home. At the same time, rising housing costs are making homeownership increasingly out of reach. Programs like the VA Home Loan are more important than ever, offering a path to homeownership that can save veterans thousands of dollars and help them build lasting financial security. This program offers veterans no down payment, no private mortgage insurance mandate, and interest rates that are often lower than rates for conventional FHA loans. Despite these benefits, only about 13 percent of veterans access the VA Home Loan Program. Among veterans who don't use the VA Home Loan program, 33 percent say they are not aware of it.

The provisions of Senator Van Hollen's bills included in the 21st Century ROAD to Housing Act will help better inform veterans of the VA Home Loan benefits by adding a disclosure to the Uniform Residential Loan Application (URLA) and making the military service question mandatory. This will ensure that veterans are notified that they may be eligible for a VA Home Loan, directing applicants to consult their lender for more information about the VA Home Loan program. Lenders will also receive information regarding applicants' military service, so they can provide information about VA Home Loans early in the homebuying process. Additionally, they require updates to Federal Housing Administration (FHA) mortgage disclosures to include VA Home Loans alongside FHA and conventional loan options so veterans can easily compare terms and find the best deal.

The 21st Century ROAD to Housing Act aims to:

1. Expand and Preserve Housing Supply:
2. 1. Remove regulatory barriers to housing development
   2. Increase and preserve existing housing
   3. Promote innovative construction methods, including to expand access to modular and manufactured housing
   4. Address neighborhood blight and support communities recovering from natural disasters
3. Improve Housing Affordability and Access:
4. 1. Expand access to homeownership
   2. Improve housing affordability
   3. Promote housing opportunities for veterans
   4. Reduce appraisal shortages while addressing inaccurate appraisals
5. Advance Accountability and Fiscal Responsibility:
6. 1. Ensure taxpayer dollars are used efficiently
   2. Promote evidence-based policy solutions
7. Improve Oversight and Program Integrity:
8. 1. Strengthen oversight of housing regulators
   2. Streamline program coordination
   3. Ensure performance, transparency, and accountability across housing programs

A section-by-section outline of the bill is here. The full legislative text can be viewed here.