# Plain Language Summary: Veteran Home Energy Savings Act

This bill makes it easier for veterans to qualify for home loans by counting the money they'll save on energy bills as part of their income. Right now, when banks decide whether a veteran can afford a mortgage through the VA loan program, they only look at the veteran's actual salary and existing debts. This bill says that if a veteran gets an energy efficiency report showing their new home will have lower electricity, gas, or heating costs, those savings can be counted as additional income when the bank decides whether to approve the loan. For example, if a veteran's income is borderline for qualifying, but the home has excellent insulation and efficient systems that will save $200 a month on utilities, that $200 can now help them qualify.

To make this work, the bill requires veterans to get an energy efficiency report prepared by a certified professional. These reports use standardized methods (like the HERS rating system) to estimate exactly how much energy a specific home will use and what it will cost to operate. The Department of Veterans Affairs will create clear guidelines for lenders on how to use these reports, and will set up an advisory group with lenders, energy experts, builders, and veterans' organizations to make sure the process works smoothly and fairly.

The bill also requires the VA to track how this program performs over time. Every year, the VA must report to Congress how many veterans used energy efficiency reports to help qualify for loans, and whether those loans have higher or lower default rates than traditional VA loans. This helps ensure the program is actually helping veterans without creating risky lending practices. Additionally, the VA must include information about this option in their marketing materials so veterans know it's available to them.

Veteran Home Energy Savings Act

Levin, Mike

Veteran Home Energy Savings Act This bill requires the Department of Veterans Affairs (VA) to adjust regulations and guidance related to procedures for ascertaining the monthly income required by a veteran to meet anticipated VA loan terms to take into consideration the estimated energy cost savings expected for the home.