VALID Act of 2025

The VA Loan Informed Disclosure Act of 2025 (VALID Act of 2025) would expand the information lenders must provide to borrowers considering FHA-insured loans and add a new military service question to the Uniform Residential Loan Application (URLA, also known as the 1003 form). Specifically, it requires that information about VA home loans (guaranteed or insured under chapter 37 of Title 38) be included in the Informed Consumer Choice Disclosure provided to prospective FHA borrowers, noting prevailing interest rates. It also directs the Federal Housing Finance Agency (FHFA) to require a military service question on the URLA and to position that question above the borrower’s signature, with a rulemaking timeline to implement these changes. The bill clarifies that nothing in these amendments obligates lenders to determine borrower eligibility for any loan. In short, the bill aims to improve consumer awareness of VA loan options for FHA borrowers and to collect military service information on loan applications to support program alignment, while avoiding new eligibility determinations by lenders.