Lenders turned down 22.0% of applications received for FHA loans in 2025. The rejection rate on VA mortgages was a more modest 16.1%. (Includes data table.)

The lender has tailored its strategy to help VA borrowers compete in a market where government loans are overlooked in favor of higher-downpayment conventional mortgages or cash buyers.

FHA could sustain a zero-downpayment loan option for first-time homebuyers if Congress would allow it, analysts at the Urban Institute contended in a new proposal.

The federal government in 2026 will provide $293.43 billion in loans and loan guarantees to rural households. Some $27.43 billion will come from the Rural Housing Service and $107.52 billion through FHA and VA.

Bill in House would add to IRRRL fees; FHA proposes rejecting applicants with delinquent child support obligations; FHA to automate some case number assignments for condos.

Young homebuyers using low- to zero-downpayment loans, usually government-insured loans, can’t compete with cash buyers for single-family homes.

Many top correspondent sellers of government loans increased sales by the double-digits in 2025 compared to 2024, while top seller Veterans United saw a decline. (Includes data table.)

Trade groups representing lenders want VA to align its appraisal standards with other government agencies and clarify minimum property requirements.

A bill sponsored by Republicans in the House seeks to revise the appraisal process for VA mortgages, and to open the VA program to more condo lending.

The Biden-era rule required new home constructions backed by FHA and USDA loans to meet stricter energy standards. The move is part of the Trump administration’s efforts to increase housing affordability.