June 02, 2022

Reschenthaler Urges Department of Veterans Affairs to Improve VA Mortgage Loan Process

Washington, D.C. – Representatives?Guy Reschenthaler?(PA-14)?and Derek Kilmer (WA-06) led a?bipartisan letter signed by more than 60 of their colleagues to the U.S. Department of Veterans Affairs (VA) Secretary Denis McDonough, urging the VA to improve its mortgage loan process to ensure veterans can effectively compete in the current housing market.    

“Our nation’s proud and deserving veterans are struggling to secure a home in today’s market using their VA mortgage benefits,” said Rep. Reschenthaler. “As a Navy veteran, I believe the VA needs to examine its mortgage loan process and implement reforms necessary to ensure that veterans can compete and purchase a home in today’s highly competitive housing market.”  

“If you serve this country, the federal government ought to have your back. That means that every veteran should receive the benefits that they have earned and deserve – including when it comes to housing,” said Rep. Kilmer. “I believe that every veteran should have a home, and it shouldn’t be under a freeway overpass. That’s why I’m helping to lead the bipartisan effort to make homeownership more attainable for our nation’s veterans and to improve the VA mortgage loan process. We’ve got to make progress to ensure that every veteran has a fair shot.” 

Background: 

According to the National Association of Realtors, the median home sale price is up 15% year-over-year, and inventory was down 0.3 months from February 2021. This marks 120 consecutive months of year-over-year increases, the longest-running streak on record. 

The rise in cash and conventional loans with waived contingencies has decreased veterans’ ability to compete in the current housing market. VA borrowers are less successful than borrowers using conventional loan products, with 11% of VA borrowers changing loan products during their housing search, compared to only 1% of conventional borrowers who change financing methods. 

The letter was also signed by: Republican Conference Chair Elise M. Stefanik (NY-21) and Reps. Brian Fitzpatrick (PA-01), Eric Swalwell (CA-15), Fred Keller (PA-12), Mike Kelly (PA-16), Vicky Hartzler (MO-04), Brian Mast (FL-18), Doug LaMalfa (CA-01), Juan Vargas (CA-51), Dina Titus (NV-01), Tom O'Halleran (AZ-01), Eleanor Holmes Norton (DC-AL), Rodney Davis (IL-13), Stephanie Bice (OK-05), Adriano Espaillat (NY-13), Yvette Herrell (NM-02), Mike Turner (OH-10), Raul Grijalva (AZ-03), Chris Pappas (NH-01), Jahana Hayes (CT-05), Mariannette Miller-Meeks, M.D. (IA-02), Dan Meuser (PA-09), Susie Lee (NV-03), Glenn “GT” Thompson (PA-15), Scott Franklin (FL-15), Ed Case (HI-01), Jay Obernolte (CA-08), Michael Waltz (FL-06),  William Timmons (SC-04), Cathy McMorris Rodgers (WA-05), Fred Upton (MI-06), Jake Ellzey (TX-06), Tim Ryan (OH-13), Ben Cline (VA-06), Katie Porter (CA-45), Henry C. “Hank” Johnson, Jr. (GA-04), Adam Smith (WA-09), Elaine Luria (VA-02) Mario Díaz-Balart (FL-25), Gus M. Bilirakis (FL-12), Jaime Herrera Beutler (WA-03), Rashida Tlaib (MI-13), Cindy Axne (IA-03), David Kustoff (TN-08), Debbie Lesko (AZ-08), David G. Valadao (CA-21), Ted W. Lieu (CA-33), Sam Graves (MO-06), Peter Meijer (MI-03), Michael F.Q. San Nicolas (GU-AL), Ken Calvert (CA-42), Bill Johnson (OH-06), Tracey Mann (KS-01), Ralph Norman (SC-05), Angie Craig (MN-02), Suzan DelBene (WA-01), Carlos A. Gimenez (FL-26), Kim Schrier, M.D. (WA-08), Brad Sherman (CA-30), John Carter (TX-31), Richard Hudson (NC-08), Ed Perlmutter (CO-07), and Linda T. Sánchez (CA-38). 

The full text of the letter can be read here

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