(WKBN) – Veterans are afforded unique opportunities when it comes to home loan financing.
The VA Home Loan Program offers special financing for veterans, including no down payment, no private mortgage insurance (PMI) and usually lower interest rates. But despite those perks, only about 13% of all veterans utilize their benefits through the program.
When veterans were asked why they did not take advantage of the VA Home Loan Program, 33% said they didn’t know about it, and 43% of surviving spouses said they didn’t know they were eligible.
Of the veterans surveyed, only about half said that their lender informed them of the VA Home Loan Program. To make veterans more aware of what is offered to them, The VA Home Awareness Act of 2023 would add a disclosure to the standard mortgage prequalification application informing veteran purchasers that they may qualify for a VA home loan.
The application already has a section for military service. This act would add an extra line informing buyers of the VA loan benefit.
The VA Home Loan Awareness Act does the following:
- Adds a disclosure informing veterans they may be eligible for a VA Home Loan
- Directs applicants to consult their lender for more information about the VA Home Loan
Program - Instructs the GAO to conduct a review and report to Congress regarding lenders’ adoption
of the URLA form updates
Senator Sherrod Brown, D-Ohio, introduced the legislation with his colleague Senator Mike Braun, R-Indiana.
“By letting veterans and servicemembers know they may be eligible for a VA home loan, we can help make the dream of homeownership a reality for more military families and make sure that the Ohioans who served our county get the benefits they’ve earned,” Brown said.
