[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 1803 Introduced in House (IH)]
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119th CONGRESS
1st Session
H. R. 1803
To amend title 38, United States Code, to provide for the improvement
of the Department of Veterans Affairs loan guarantee for purchase of
residential cooperative housing units, and for other purposes.
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IN THE HOUSE OF REPRESENTATIVES
March 3, 2025
Ms. Meng (for herself and Ms. Malliotakis) introduced the following
bill; which was referred to the Committee on Veterans' Affairs
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A BILL
To amend title 38, United States Code, to provide for the improvement
of the Department of Veterans Affairs loan guarantee for purchase of
residential cooperative housing units, 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 ``Fair Access to Co-ops for Veterans
Act of 2025''.
SEC. 2. IMPROVEMENT OF DEPARTMENT OF VETERANS AFFAIRS LOAN GUARANTEE
FOR PURCHASE OF RESIDENTIAL COOPERATIVE HOUSING UNITS.
(a) In General.--Section 3710 of title 38, United States Code, is
amended--
(1) in subsection (a)(12), by striking ``With respect to a
loan guaranteed after the date of the enactment of this
paragraph and before the date that is five years after that
date, to'' and inserting ``To''; and
(2) by striking subsection (h) and inserting the following
new subsection (h):
``(h) A loan may not be guaranteed under subsection (a)(12) before
the date on which the Secretary prescribes regulations setting forth
requirements for underwriting, loan processing, project standards,
share eligibility, valuation, and other criteria the Secretary
determines necessary. The Secretary shall ensure that such regulations
are consistent, to the extent the Secretary determines suitable, with
the requirements of the Federal National Mortgage Association for the
purchase or securitization of cooperative housing loans.''.
(b) Loan Fees.--Section 3729(b) of such title is amended--
(1) in paragraph (1), by striking ``The amount'' and
inserting ``Except as provided in paragraph (5), the amount'';
and
(2) by adding at the end the following new paragraph:
``(5) In the case of an loan guaranteed under section 3710(a)(12)
of this title, the amount of the fee shall be--
``(A) the amount determined from the loan fee table under
paragraph (2), plus
``(B) 3.25 percent of the total amount of the loan
guaranteed, insured, or made, or, in the case of a loan
assumption, the unpaid principal balance of the loan on the
date of the transfer of the property.''.
(c) Amount of Loan.--Section 3703(a)(1)(A)(i)(IV) of such title is
amended by striking ``or (8)'' and inserting ``(8), or (12)''.
(d) Treatment as Residential Property.--Such title is further
amended--
(1) in section 3704(c), by adding at the end the following
new paragraph:
``(3) For purposes of this subsection, stock or membership in a
cooperative housing corporation (as defined in section 216(b) of the
Internal Revenue Code of 1986) for the purpose of entitling a person to
occupy for dwelling purposes a single family residential unit in a
development, project, or structure owned or leased by such corporation
shall be treated as residential property.''; and
(2) in section 3714, by adding at the end the following new
subsection:
``(i) For purposes of this section, stock or membership in a
cooperative housing corporation (as defined in section 216(b) of the
Internal Revenue Code of 1986) for the purpose of entitling a person to
occupy for dwelling purposes a single family residential unit in a
development, project, or structure owned or leased by such corporation
shall be treated as residential property.''.
(e) Authority To Advertise.--The Secretary of Veterans Affairs
shall use the authority of the Secretary under section 532 of title 38,
United States Code, to advertise the availability of loan guarantees
for housing cooperative share loans under section 3710(a)(12) of such
title and shall take such other appropriate actions as may be
necessary, including by the issuance of guidance, to notify eligible
veterans, participating lenders, and interested realtors of the
availability of such loan guarantees and the procedures and
requirements that apply to the obtaining of such guarantees.
(f) Guidance.--Notwithstanding section 501 of such title, the
Secretary of Veterans Affairs may issue guidance to implement section
3710 of title 38, United States Code, as amended by subsection (a),
before prescribing new regulations under such section.
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