A Reprieve for Veterans Applying for V.A. Mortgages

A Reprieve for Veterans Applying for V.A. Mortgages — NYT > Business
Source: NYT > Business

House Republicans have scaled back a plan to raise fees on V.A. home loans after opposition from veterans’ groups and lenders. Most proposed increases were dropped; the revision would leave fees on loans for buyers unchanged while raising fees for refinancings and adding a small increase for assuming a V.A.

loan, Kathleen McCarthy, a spokeswoman for the House Veterans’ Affairs Committee, said in an email. The earlier proposal would have tripled the refinance fee to 1.5 percent of the loan; the revised increase will be slightly lower, with the exact rate still to be determined.

The legislation is also expected to expand eligibility for V.A. loans to more members of the National Guard and the Reserves, and further changes could be made as the bill moves through the legislative process. The bill retains a $10,000 increase in annual benefits for catastrophically disabled veterans and a pared-back increase for survivors, reduced from the initially proposed 5 percent over five years to comply with House budget rules.

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