Temporary Policy Change Aims to Improve Homeownership Opportunities for Veterans, Following Advocacy from REALTORS® and Industry Partners.
The Department of Veterans Affairs (VA) plans to temporarily lift its ban on buyers directly paying for professional real estate representation. This decision, announced by VA Deputy Director of Policy Michelle Corridon at a Mortgage Bankers Association conference, is a relief to the real estate industry. Currently, the VA’s home loan guaranty is the only program that prohibits such payments, which can leave veteran buyers without professional representation if the listing broker does not offer compensation to the buyer’s broker.
The National Association of REALTORS® (NAR) has advocated for this change. NAR’s chief advocacy officer, Shannon McGahn, highlighted the efforts made by REALTORS® and industry partners to address this issue.
The current VA policy restricts veteran buyers from being charged a brokerage fee, complicating their ability to secure professional representation. NAR’s advocacy emphasizes the importance of maintaining veterans’ access to the VA home loan program, which is crucial for helping service members achieve homeownership. The policy change aims to ensure that veterans can compete fairly in the housing market and continue to pursue the American Dream of homeownership.
Source: National Association of REALTORS® Veterans Affairs Signals Temporary Suspension of Buyer Agent Payment Ban May 22, 2024.