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Thousands of Veterans Could Lose Homes as Congress Debates VA Rescue Program
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Published 4 hours ago on
March 21, 2025

VA program that saved 15,000 veterans from foreclosure now faces potential termination due to congressional opposition. (Shutterstock)

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A Department of Veterans Affairs rescue program that has helped 15,000 veterans retain their homes through more affordable mortgages faces potential termination due to opposition in Congress.

The program was created after an NPR investigation uncovered a VA error that left 40,000 veterans at risk of foreclosure. These veterans had been on COVID-19 mortgage forbearance but got stuck when the VA prematurely ended a key part of the program.

“These vets got stuck when the VA made a really big blunder and turned off a key part of this program when there were still tens of thousands of veterans in the middle of it,” explained NPR’s Chris Arnold on the network’s All Things Considered podcast.

 

In response, the VA halted foreclosures for a year and implemented the rescue program. While 15,000 veterans have benefited so far, thousands more await approval.

Now, some Republican lawmakers are pushing to end the program, citing concerns about taxpayer risk. Two bills have been introduced in Congress: one to shut down the rescue program and another to replace it.

Housing advocates and the mortgage industry argue that the current program is the only way for affected veterans to avoid foreclosure.

Kevin Conlon, an Iraq War veteran who nearly lost his home due to the VA error, expressed his frustration: “You’re talking about getting rid of something that would keep me and my family in a home that we love, that we need. And to do that to us is just… it’s intentionally cruel.”

The situation is further complicated by President Trump’s ongoing restructuring of the VA, which has resulted in thousands of employee firings with plans for more.

Read more at NPR

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