VA Home Loan Affordability Act

This bill changes the Department of Veterans Affairs (VA) home loan program to match some Federal Housing Administration rules. It bars the VA from requiring third-party documentation of lender fees, lets the VA approve refinancing without an appraisal, and lowers the interest rate reduction required for certain adjustable-rate refinances from 200 to 75 basis points. It removes the requirement that condominium projects be VA-approved for guaranteed loans and caps closing costs paid by the veteran at 1.5 percent of the loan and seller fees at six percent of the loan balance. It also requires the VA to review debt-to-income ratios at least every two years, accept state-issued appraiser licenses or certificates, review property requirements within 90 days, and submit a plan to Congress within 180 days to update its loan technology.

Full text and official record on Congress.gov

Sponsors

• Derrick Van Orden Republican sponsor
• 8 cosponsors