Affordable Homes for Veterans Act of 2026

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 9379 Introduced in House (IH)]

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119th CONGRESS
  2d Session
                                H. R. 9379

To codify processing timelines for applications for the assumption of a
 loan guaranteed by the Department of Veterans Affairs, to require the
 Inspector General of the Department to conduct an assessment of loan
    servicer compliance with such timelines, and for other purposes.

_______________________________________________________________________

                    IN THE HOUSE OF REPRESENTATIVES

                             June 18, 2026

  Mr. Vindman (for himself and Mr. Hamadeh of Arizona) introduced the
   following bill; which was referred to the Committee on Veterans'
                                Affairs

_______________________________________________________________________

                                 A BILL

To codify processing timelines for applications for the assumption of a
 loan guaranteed by the Department of Veterans Affairs, to require the
 Inspector General of the Department to conduct an assessment of loan
    servicer compliance with such timelines, 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 ``Affordable Homes for Veterans Act of
2026''.

SEC. 2. CODIFICATION OF 45-CALENDAR-DAY PROCESSING REQUIREMENT FOR
              APPLICATIONS FOR DEPARTMENT OF VETERANS AFFAIRS HOME LOAN
              ASSUMPTIONS.

    (a) In General.--Chapter 37 of title 38, United States Code, is
amended by inserting after section 3710 the following new section:

``SEC. 3710A. PROCESSING TIMELINES FOR LOAN ASSUMPTIONS.

    ``(a) Processing Requirement.--The servicer of a loan guaranteed
under this chapter shall process and render a decision on a complete
application for the assumption of such a loan within 45 calendar days
of receipt of such complete application. The requirement under this
subsection shall apply regardless of whether the servicer--
            ``(1) is authorized to approve loan assumptions
        independently; or
            ``(2) is required to submit an application for a loan
        assumption to a regional loan center of the Department for
        approval.
    ``(b) Complete Application Defined.--In this section, the term
`complete application' means an application that includes all documents
and information required by Department regulations for review and
approval.''.
    (b) Conforming Amendment.--The table of sections in chapter 37 of
title 38, United States Code, is amended by inserting after the item
relating to section 3710 the following new item:

``3710A. Processing timelines for loan assumptions.''.

SEC. 3. GUIDANCE ON TIMELINES FOR SERVICERS OF LOANS GUARANTEED BY THE
              SECRETARY OF VETERANS AFFAIRS.

    Not later than 30 days after the date of the enactment of this Act,
the Secretary of Veterans Affairs shall update guidance and
communications materials for servicers of loans guaranteed under
chapter 37 of title 38, United States Code, to clearly state that--
            (1) the 45-calendar-day processing timeline established in
        section 3710A of title 38, United States Code, as inserted by
        section 3, is a statutory requirement;
            (2) servicers may not threaten, suggest, or imply to
        individuals who are potential assumers of such loans that the
        processing timeline will exceed 45 calendar days as a reason to
        discourage assumptions; and
            (3) any communication made by servicers regarding
        processing timelines must be consistent with the statutory
        requirement.

SEC. 4. OFFICE OF INSPECTOR GENERAL ASSESSMENT.

    (a) In General.--Not later than 90 days after the date of the
enactment of this Act, the Inspector General of the Department of
Veterans Affairs, in consultation with the Comptroller General of the
United States, shall conduct an assessment of each of the following:
            (1) During the three-year period preceding the date on
        which the assessment is commenced, the extent to which
        servicers of loans guaranteed under chapter 37 of title 38,
        United States Code, processed applications for assumptions of
        loans guaranteed under chapter 37 of title 38, United States
        Code, within the 45-calendar-day timeline required by section
        3710A of title 38, United States Code, as added by section 3.
            (2) The average processing time for applications for
        assumption of loans guaranteed under such chapter that are
        submitted to servicers of such loans and regional loan centers
        of the Department, disaggregated by servicer and by region.
            (3) The frequency and nature of communications by servicers
        of such loans to individuals who are potential assumers of such
        loans regarding processing timelines, including instances in
        which servicers suggested or implied that processing would take
        longer than 45 calendar days.
            (4) The denial rates for applications to assume such loans,
        compared to the rates of approval and withdrawal of such
        applications, including an assessment of whether extended
        timelines may be discouraging applicants.
            (5) The comparative denial rates between applications to
        assume such loans and applications for new loans guaranteed
        under such chapter, including an assessment of whether
        assumptions are being subjected to higher or more stringent
        approval standards than new loans.
            (6) Any evidence of discrimination or disparate treatment
        of individuals who submit applications to assume such loans
        compared to individuals who submit applications for new loans,
        including differences in underwriting standards, required
        documentation, creditworthiness thresholds, or timelines based
        on borrower characteristics.
            (7) Any barriers within the operations, staffing, or
        systems of servicers of such loans that prevent timely
        processing of applications to assume such loans.
            (8) The adequacy of Department oversight of the compliance
        of servicers of such loans with assumption processing
        requirements.
    (b) Report to Congress.--Not later than 18 months after the date of
the enactment of this Act, the Inspector General of the Department of
Veterans Affairs shall submit to Congress a report containing--
            (1) the findings of the assessment required by subsection
        (a);
            (2) an identification of any servicers of loans guaranteed
        under chapter 37 of title 38, United States Code, that fail to
        meet the 45-calendar-day requirement under section 3710A of
        title 38, United States Code, as added by section 3, on a
        consistent basis;
            (3) an analysis of denial rates for applications to assume
        such loans compared to denial rates for applications for new
        loans guaranteed under such chapter, including an
        identification of any disparities;
            (4) an analysis of whether assumptions of such loans are
        subject to higher or more stringent underwriting standards,
        creditworthiness thresholds, or documentation requirements than
        new loans;
            (5) findings regarding potential discrimination or
        disparate treatment of individuals who submit applications to
        assume such loans;
            (6) recommendations for enforcement mechanisms to ensure
        the compliance of servicers of such loans with applicable
        requirements; and
            (7) an identification of any additional legislative or
        regulatory changes needed to improve the processing of
        applications to assume such loans and ensure equitable
        treatment compared to applications for new loans.
    (c) Public Data.--The Inspector General shall make publicly
accessible the anonymized data collected for purposes of conducting the
assessment required under subsection (a).
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