Kevin and Jenny Conlon reside in upstate New York, close to Kevin’s former Army station at Fort Drum. Twelve years ago, following Kevin’s two combat tours in Iraq, they faced challenges in affording rent while raising their young child. A VA loan allowed them to purchase a home without a down payment, and they have lived there ever since.
“This is the longest I’ve ever stayed in one place,” Conlon shared. “Without the VA loan, buying a home was out of reach,” added Jenny.
The VA home loan has historically been a crucial benefit of the G.I. Bill, empowering veterans to transition into the middle class.
However, a significant error within the Department of Veterans’ Affairs has put many veterans, including the Conlons, at risk of foreclosure.
Recent investigations revealed that about 40,000 veterans were threatened with losing their homes after the VA suspended a vital component of a temporary mortgage relief initiative during the pandemic. A year-long halt on foreclosures allowed the VA to implement a rescue strategy, which has so far aided approximately 15,000 veterans. Nevertheless, discussions in Congress are underway to terminate this program, leaving countless veterans, including the Conlons, in a precarious situation.
Veterans Struggling Through No Fault of Their Own
While Kevin Conlon’s physical injuries from his service in Iraq are not visible, their effects have lingered for years. Conlon endured traumatic experiences during his deployments, including intense roadside bomb attacks and the loss of close friends. The psychological impact has led him to cope with PTSD and severe emotional struggles. He credits the VA’s mortgage forbearance program for allowing him the time needed to access vital mental health resources.
However, the suspension of this program in late 2022 has exacerbated their financial struggles, with the Conlons’ mortgage payments piling up as interest rates soared. They express deep concern about their futures should they lose their home.
“I enlisted just after September 11,” Conlon said, reflecting on his commitment. “For someone to take away the home we’ve built is an unbearable thought.”
Concerns About Legislative Changes
During a recent House Veterans’ Affairs Subcommittee hearing, VA official John Bell reported that the new VA Servicing Purchase (VASP) program has successfully assisted 15,000 veterans. However, this announcement met skepticism from various congressional members who expressed concerns regarding the future of the program.
Opponents, including Rep. Derrick Van Orden, have labeled the VASP initiative a risk to the overall VA loan framework. He criticized the program’s approach of shifting delinquencies to taxpayers, raising serious questions about its sustainability.
Van Orden has introduced proposals to revive a “partial claim” system to assist veterans struggling with their mortgages, reflecting a desire for solutions that avoid the pitfalls of the current program. Critics warn that capping the VASP program could lead to a rapid rise in foreclosures among veterans, given the financial hardships many currently face.
Veterans Hope for Continued Support
Amidst legislation discussions, Kevin Conlon hopes Congress recognizes the urgency of supporting the VASP program before it faces potential cuts. “Eliminating this program would mean losing the stability needed for my family to keep our home,” he noted, emphasizing the dire consequences of such a decision.
The future remains uncertain as the Department of Veterans’ Affairs continues to navigate budget cuts and workforce reductions, which could further complicate efforts to assist struggling veterans.
