Bill · H.R. 2723· House(119-HR-2723)
VA Home Loan GRACE Act of 2025
- Introduced
- 4/8/2025
- Last activity
- 4/8/2025 — Referred to the House Committee on Veterans' Affairs.
- Sponsored by
- Timothy Kennedy
- Cosponsors
- - 1 - 0
- Introduced
- In Committee
What this bill would do
This bill, known as the "Veteran Affairs Home Loan GRACE Act of 2025," aims to amend title 38 of the United States Code. The primary purpose is to increase the maximum guaranty amount for certain loans made to veterans under laws administered by the Secretary of Veterans Affairs. It introduces new tables to establish specific guaranty and entitlement limits based on loan amounts and veteran status. The legislation also addresses rules for when multiple veterans use guaranty entitlement on a single loan. Additionally, it establishes penalties for false certifications and updates the loan fee table.
Yes
Would veterans be better off under this, taking everything together?+8
The bill directly expands loan guaranty limits, providing significant financial benefit to covered veterans.
Does this increase the pay, pensions or support veterans receive?+7
The bill increases the maximum guaranty amount for certain VA loans, directly enhancing benefits for covered veterans.
Does this make housing cost less?+5
The bill increases loan guaranty amounts which can facilitate home ownership for veterans.
The opposite
No question was scored the opposite.
Who it would affect, and how
Potential Positive Impacts for People
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Increased Loan Entitlement for Covered Veterans: For various loan amounts, "covered veterans" may receive higher maximum amounts of guaranty entitlement compared to non-covered veterans. For example, in loans more than $45,000 but not more than $56,250, a covered veteran may receive 50 percent of the Freddie Mac conforming loan limit, while a non-covered veteran is limited to $22,500 (Section 2(a)(2)).
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Higher Limits for Large Loans: For loans exceeding $56,250, covered veterans who closed loans before April 7, 2031, may have a maximum amount of guaranty entitlement equal to 50 percent of the Freddie Mac conforming loan limit, which is higher than the $36,000 limit applicable to non-covered veterans (Section 2(a)(2)).
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Extended Loan Fee Table: The amendment extends the date used in the loan fee table from April 7, 2023, to April 7, 2031 (Section 2(c)).
Potential Negative Impacts for People
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Financial Penalties for False Certification: Veterans who knowingly and materially make a false certification under certain paragraphs may be held liable to the United States Government for a civil penalty of up to $23,607 (Section 2(b)).
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Reduced Entitlement for Specific Timelines: For covered veterans, the maximum amount of guaranty entitlement is reduced to 25 percent of the Freddie Mac conforming loan limit for loans closed on or after April 7, 2031 (Section 2(a)(2)).
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Veterans+8
- National Security And Foreign Policy
- Improves Veterans Benefits+7
- Social Issues And Justice
- Improves Affordable Housing+5
- 4/8/2025
- Referred to the House Committee on Veterans' Affairs.
- 1 Cosponsor added.
- Introduced in House
Julia BrownleyDemocrat · California