Imagine risking your life for your country, only to find yourself fighting to save your home years later.
That’s the grim reality for thousands of veterans across the U.S. as the Department of Veterans Affairs (VA) abruptly ends a key mortgage-rescue program.
The move has left many veterans stranded with limited options and looming foreclosure.
The now-defunct VA Servicing Purchase Program (VASP) was a lifeline for veterans struggling to keep their homes.
It rolled missed mortgage payments into a new low-interest loan owned by the VA.
Since its inception, VASP has saved nearly 20,000 veterans from foreclosure. But as of May 1, this critical safety net is gone.
With nearly 90,000 VA loans seriously delinquent and 33,000 already in foreclosure, housing advocates and veterans’ groups are sounding the alarm.
The Center for Responsible Lending warns that without a replacement program, tens of thousands of veterans are at risk of losing their homes.
What Went Wrong?
The VA argues that VASP, introduced during the Biden administration, was implemented without congressional approval, prompting its shutdown.
Critics, including Republican lawmakers, claim the program posed a financial risk to taxpayers.
However, veterans and advocates counter that this decision leaves them worse off than civilian homeowners with loans backed by Fannie Mae or Freddie Mac.
Veterans Speak Out
For veterans like Kevin Conlon, an Iraq War veteran living in upstate New York, the end of VASP feels like betrayal.
Conlon’s family has relied on their VA loan for over a decade, but now they’re falling further behind while waiting for help.
“We’ve paid enough,” Conlon says, reflecting on his sacrifices and struggles with PTSD after combat.
Another veteran, Samuel McCrary, a Marine Corps vet from Georgia, fears losing his home with no clear alternatives.
“It makes me sick to my stomach to think about,” he shares.
The Political Chessboard
Republican lawmakers are pushing for a “partial claim” program as an alternative, which would move missed payments to the back of the loan term.
But this legislation is still in the works, leaving veterans stuck in limbo.
Meanwhile, veterans’ groups are calling on Congress to extend VASP until a replacement program is ready.
The Human Cost
Behind the political debate are real families facing devastating consequences.
As veterans like Conlon and McCrary face foreclosure, they feel scapegoated for systemic failures.
“These are not bum loans,” Conlon’s wife emphasizes. “We’re not irresponsible people.”
The Bottom Line
The VA’s decision to end VASP has left thousands of veterans with fewer options and greater uncertainty.
While lawmakers wrangle over the next steps, veterans and their families are left wondering if the homes they fought so hard to keep are about to slip away.