VAProposed Rule

Loan Guaranty: Loss-Mitigation Options for Guaranteed Loans (AR78)

HousingFinance & Banking

Summary

The VA is proposing new rules to help veterans who have VA-guaranteed loans and are struggling to pay their mortgages. The regulation creates options for loss mitigation—basically ways to modify loan terms—so veterans can avoid foreclosure and keep their homes.

Key Points

  • 1Veterans with VA-backed loans who are having trouble making payments will have access to new options like loan modifications, payment plans, and forbearance agreements instead of automatically losing their homes
  • 2Lenders will be required to work with struggling veterans to find solutions before foreclosing on their properties
  • 3This applies specifically to loans guaranteed by the Veterans Administration, which helps veterans get mortgages with better terms than traditional loans
  • 4The VA is still in the proposal stage and gathering public feedback before finalizing these new rules
  • 5These changes aim to prevent veteran homelessness and protect the home ownership benefits that veterans have earned through their service

Key Dates

Published

January 21, 2026

This summary is for informational purposes only. It may not capture all nuances of the regulation. Always refer to the official text for authoritative information.

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