HOME Act of 2025
The Heroes Owning and Materializing Equity Act of 2025 (HOME Act) proposes several changes to how the Department of Veterans Affairs (VA) supports veteran homeowners and disabled veterans. First, it broadens VA guidance to lenders about whether veterans have enough residual income to qualify for VA-backed home loans by adding nonprofit financial service organizations to the list of entities that can provide input, and it requires the VA to coordinate with veteran advocacy nonprofits to offer voluntary financial counseling to veterans purchasing homes with these loans. Second, it creates a new database of homes that have been adapted for disabled veterans, available to those veterans who are interested in buying such homes (with seller participation). Third, it expands outreach to veterans living in U.S. territories to ensure they know about eligibility for benefits under these provisions. Collectively, the bill aims to improve underwriting guidance, expand access to adapted housing, and increase outreach to veterans in territories.
Key Points
- 1Expands VA guidance to lenders on residual income sufficiency by adding nonprofit financial service organizations as recognized sources of guidance.
- 2Requires the Secretary to coordinate with veteran advocacy nonprofit organizations to offer voluntary financial counseling to veterans purchasing homes with VA-backed loans.
- 3Creates a new VA database of homes for sale that have been adapted for disabled veterans, provided the seller consents to listing, and makes this database available to disabled veterans seeking such homes.
- 4Adds a new provision mandating outreach to veterans residing in U.S. territories regarding eligibility for benefits under the adapted housing program.
- 5Designates the act as the HERO Act of 2025 (also referred to as the HOME Act of 2025).