H.R. 1803 — Fair Access to Co-ops for Veterans Act of 2025

This section revises the VA loan guaranty program to permanently authorize automatic guarantees under 38 U.S.C. §3710(a)(12) for veterans' purchase of residential cooperative housing units (i.e., co-op share loans previously limited to five years after enactment), contingent on the Secretary of Veterans Affairs first prescribing regulations for underwriting, loan processing, project standards, share eligibility, valuation, and other criteria (consistent where suitable with Fannie Mae requirements for co-op loans). (As background: The VA loan guaranty program automatically guarantees eligible veterans' mortgages for home purchase, refinance, and improvement, reducing lender risk and enabling favorable terms.) It further (1) imposes a loan fee for such guarantees equal to the standard fee amount plus 3.25% of the total loan amount (or unpaid principal for assumptions); (2) includes such loans in occupancy requirements and maximum loan amounts; (3) treats co-op stock or membership as residential property for purposes of appraisal and manufactured home standards; (4) directs the Secretary to advertise availability of such guarantees and notify veterans, lenders, and realtors; and (5) authorizes interim guidance prior to regulations.