WASHINGTON, DC (March 12, 2025) |
The Defense Credit Union Council (DCUC) sent a letter to the Senate Banking, Housing and Urban Affairs Committee stating ahead of its hearing titled "Housing Roadblocks: Paving a New Way to Address Affordability.” DCUC commends the Committee’s commitment to improving housing affordability and highlights the severe challenges facing military families.
In the letter, DCUC detailed how the affordable housing crisis is one of the most pressing challenges facing millions of Americans today.
“The U.S. faces an estimated shortage of 7.3 million affordable homes for the lowest-income renters, leaving only 34 affordable and available units per 100 extremely low-income households (National Low Income Housing Coalition, 2024). Nearly half of all renter households are cost burdened, meaning they spend more than 30% of their income on housing, with over 8.53 million households experiencing severe cost burdens (HUD, 2023). For military families, this crisis is even more pronounced. Service members face unique challenges, including frequent relocations, high housing costs near bases, and housing allowances that often fail to keep pace with rising rents.
DCUC shared how defense credit unions play a vital role in financing homeownership and affordable housing solutions for service members through:
- Specializing in VA home loans with lower rates and reduced fees
- Providing first-time homebuyer programs and financial literacy initiatives • Offering affordable mortgage products with low or zero down payments • Supporting emergency relief programs and housing counseling
- Investing in community-based affordable housing projects
- Policy Recommendations
DCUC urges the Committee to support policies that enhance credit unions’ ability to provide affordable housing solutions, including raising the Member Business Lending (MBL) cap,
streamlining VA home loan processes and increasing acceptance in competitive markets, expanding credit unions’ access to federal housing programs, adjusting BAH to reflect real market trends, and reducing regulatory burdens on credit union mortgage lending.
DCUC remains committed to working with policymakers to ensure military families have access to stable, affordable housing.
“The affordable housing crisis in the U.S. requires urgent action,” wrote Jason Stverak, DCUC Chief Advocacy Officer. “Military families face unique housing affordability challenges, and defense credit unions are committed to providing solutions through innovative mortgage products, financial counseling, and affordable housing investments. However, policy support is needed to scale up credit unions’ impact, from increasing lending flexibility to strengthening VA home loan programs and adjusting BAH levels.”
For more information, please contact Jason Stverak at jstverak@dcuc.org and visit dcuc.org/advocacy.