Temporary eligibility of certain direct descendants of certain veterans for housing loans guaranteed by the Secretary of Veterans Affairs

(a) In general During the period described in subsection (b)— (1) section 3701(b) of title 38, United States Code, shall be applied and administered by adding at the end the following new paragraph: (8) (A) The term veteran also includes, for purposes of home loans, any direct descendant of a veteran described in subparagraph (B) if the descendant— (i) is living on the date of the enactment of the American Housing and Economic Mobility Act of 2025; (ii) is a first-time homebuyer; and (iii) is a first-generation homebuyer. (B) A veteran described in this clause is a veteran who— (i) served on active duty at any time during the period between June 22, 1944, and April 11, 1968; (ii) is deceased; and (iii) did not receive a housing loan benefit under this chapter during his or her lifetime. (C) In this paragraph: (i) The term direct descendant includes a legally adopted descendant. (ii) The terms first-generation homebuyer and first-time homebuyer have the meanings given those terms in section 201(a) of the American Housing and Economic Mobility Act of 2025.; and (2) section 3702(a)(2) of such title shall be applied and administered by adding at the end the following new subparagraph: (H) Each direct descendant described in section 3701(b)(8) of this title.. (b) Period described The period described in this subsection is the period beginning one year after the date of the enactment of this Act and ending ten years after the date on which the Secretary of Veterans Affairs prescribes the regulations required by subsection (c). (c) Regulations (1) In general Not later than 180 days after the date of the enactment of this Act, the Secretary of Veterans Affairs shall prescribe regulations to carry out this section. (2) Elements The regulations required by paragraph (1) shall provide rules and procedures for determining— (A) the eligibility of a direct descendant for housing loan benefits under this section when the records of the Veterans Benefits Administration are incomplete or otherwise inadequate to verify eligibility; and (B) appropriate implementation of this section if more than one direct descendant of a veteran seeks housing loan benefits under this section.