U.S. Rep. Grace Meng has joined U.S. Rep. Nicole Malliotakis to reintroduce bipartisan legislation that would expand housing benefits for veterans nationwide.
Meng and Malliotakis, a Republican representing parts of southern Brooklyn and Staten Island, have introduced the Fair Access to Co-Ops for Veterans Act (H.R.1803), a bill that would make it easier for veterans across the nation to purchase co-ops.
The bill, originally introduced last year by Meng and Malliotakis, would expand the Veterans Home Loan Guarantee program to include co-ops by allowing the U.S. Department of Veteran Affairs (VA) to guarantee co-op loans taken out by veterans.
The bill would also direct the VA to advertise the program to eligible veterans, participating lenders and interested realtors.
Meng, who represents New York’s 6th Congressional District covering neighborhoods such as Elmhurst, Flushing, Glendale, Kew Gardens and Maspeth, recently testified before the House Veterans’ Affairs Subcommittee on Economic Opportunity in support of the bill.
She said the VA Home Loan Program has been a transformative benefit for veterans for the past 80 years but added that New Yorkers who served in the armed forces can not enjoy the full benefits of the program without access to co-ops.
“In New York City, about two out of three apartment buildings are co-ops. And if you have seen New York, you know, that is a lot of co-ops,” Meng told the committee. “Co-ops, on average are more affordable in New York than condos or homes. They offer a realistic way for working-class New Yorkers to own their place and build equity.
“Currently, a veteran or servicemember can use their VA home loan to purchase a condo, a townhome, a mobile home, or a manufactured home, but not a co-op. It is our job to serve those who serve us. So, let’s serve them by increasing the accessibility of homeownership to more veterans.”
In 2006, Congress passed a bill creating a five-year pilot program allowing veterans to purchase co-op housing. However, the program expired in 2011 and has not been renewed since. Meng recalled how a recently married former service member reached out to her office last year to inquire why he could not use the VA home loan to purchase one of New York’s most affordable housing options.
Malliotakis, who represents New York’s 11th congressional district said co-ops make up roughly 25% of the housing market in New York City and said it is “essential” for veterans to have access to these homes.
“I’m proud to partner with Rep. Meng on this bipartisan effort to include co-ops in VA home loan eligibility, helping to expand homeownership opportunities and support veterans in their transition to civilian life,” Malliotakis said.
Kristina Keenan, Legislative Director at Veterans of Foreign Wars (VFW), said veterans who live in cities where co-ops are prevalent are disproportionately impacted by a lack of access to co-op housing.
“In New York City, for example, co-ops comprise almost two-thirds of all multi-family housing, for which veterans cannot use VA home loans,” Keenan said in a statement. “Veteran home ownership in New York City is also significantly lower than the rest of the country. Other cities where co-ops are prevalent are Baltimore, Chicago, Los Angeles, Miami, Minneapolis, Newark, Palm Beach, Philadelphia, San Francisco, and Washington, D.C.
“Expanding the VA home loan program to co-ops would provide more veterans with long-term housing stability.”
