VALID Act of 2025

The VA Loan Informed Disclosure Act of 2025, or VALID Act, seeks to enhance transparency for prospective homebuyers by amending existing housing laws. Its primary goal is to ensure that individuals considering Federal Housing Administration (FHA) loans are also made aware of potential benefits offered by VA home loans. Specifically, the bill mandates that the Informed Consumer Choice Disclosure , provided to prospective FHA borrowers, must include comparative information about VA loans, such as loan-to-value ratios and prevailing interest rates. This provision aims to help borrowers make more informed decisions about their financing options. Furthermore, the legislation requires the Federal Housing Finance Agency (FHFA) to ensure that a military service question is added to the Uniform Residential Loan Application (URLA), positioned prominently above the signature line, to identify potential VA loan eligible applicants.