I
119THCONGRESS
1
STSESSION 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.
IN THE HOUSE OF REPRESENTATIVES
MARCH3, 2025
Ms. M
ENG(for herself and Ms. MALLIOTAKIS) introduced the following bill;
which was referred to the Committee on Veterans’ Affairs
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 Representa-1
tives of the United States of America in Congress assembled, 2
SECTION 1. SHORT TITLE. 3
This Act may be cited as the ‘‘Fair Access to Co- 4
ops for Veterans Act of 2025’’. 5
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SEC. 2. IMPROVEMENT OF DEPARTMENT OF VETERANS AF-1
FAIRS LOAN GUARANTEE FOR PURCHASE OF 2
RESIDENTIAL COOPERATIVE HOUSING 3
UNITS. 4
(a) I
NGENERAL.—Section 3710 of title 38, United 5
States Code, is amended— 6
(1) in subsection (a)(12), by striking ‘‘With re-7
spect to a loan guaranteed after the date of the en-8
actment of this paragraph and before the date that 9
is five years after that date, to’’ and inserting ‘‘To’’; 10
and 11
(2) by striking subsection (h) and inserting the 12
following new subsection (h): 13
‘‘(h) A loan may not be guaranteed under subsection 14
(a)(12) before the date on which the Secretary prescribes 15
regulations setting forth requirements for underwriting, 16
loan processing, project standards, share eligibility, valu-17
ation, and other criteria the Secretary determines nec-18
essary. The Secretary shall ensure that such regulations 19
are consistent, to the extent the Secretary determines suit-20
able, with the requirements of the Federal National Mort-21
gage Association for the purchase or securitization of co-22
operative housing loans.’’. 23
(b) L
OANFEES.—Section 3729(b) of such title is 24
amended— 25
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(1) in paragraph (1), by striking ‘‘The amount’’ 1
and inserting ‘‘Except as provided in paragraph (5), 2
the amount’’; and 3
(2) by adding at the end the following new 4
paragraph: 5
‘‘(5) In the case of an loan guaranteed under section 6
3710(a)(12) of this title, the amount of the fee shall be— 7
‘‘(A) the amount determined from the loan fee 8
table under paragraph (2), plus 9
‘‘(B) 3.25 percent of the total amount of the 10
loan guaranteed, insured, or made, or, in the case of 11
a loan assumption, the unpaid principal balance of 12
the loan on the date of the transfer of the prop-13
erty.’’. 14
(c) A
MOUNT OF LOAN.—Section 15
3703(a)(1)(A)(i)(IV) of such title is amended by striking 16
‘‘or (8)’’ and inserting ‘‘(8), or (12)’’. 17
(d) T
REATMENT ASRESIDENTIALPROPERTY.—Such 18
title is further amended— 19
(1) in section 3704(c), by adding at the end the 20
following new paragraph: 21
‘‘(3) For purposes of this subsection, stock or mem-22
bership in a cooperative housing corporation (as defined 23
in section 216(b) of the Internal Revenue Code of 1986) 24
for the purpose of entitling a person to occupy for dwelling 25
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purposes a single family residential unit in a development, 1
project, or structure owned or leased by such corporation 2
shall be treated as residential property.’’; and 3
(2) in section 3714, by adding at the end the 4
following new subsection: 5
‘‘(i) For purposes of this section, stock or member-6
ship in a cooperative housing corporation (as defined in 7
section 216(b) of the Internal Revenue Code of 1986) for 8
the purpose of entitling a person to occupy for dwelling 9
purposes a single family residential unit in a development, 10
project, or structure owned or leased by such corporation 11
shall be treated as residential property.’’. 12
(e) A
UTHORITYTOADVERTISE.—The Secretary of 13
Veterans Affairs shall use the authority of the Secretary 14
under section 532 of title 38, United States Code, to ad-15
vertise the availability of loan guarantees for housing co-16
operative share loans under section 3710(a)(12) of such 17
title and shall take such other appropriate actions as may 18
be necessary, including by the issuance of guidance, to no-19
tify eligible veterans, participating lenders, and interested 20
realtors of the availability of such loan guarantees and the 21
procedures and requirements that apply to the obtaining 22
of such guarantees. 23
(f) G
UIDANCE.—Notwithstanding section 501 of such 24
title, the Secretary of Veterans Affairs may issue guidance 25
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to implement section 3710 of title 38, United States Code, 1
as amended by subsection (a), before prescribing new reg-2
ulations under such section. 3
Æ
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