📡 VA SPOTLIGHT — PIKES PEAK EDITION
What agents need to know right now
On June 25, VA revised its Minimum Property Requirements (MPRs), the standards a home has to clear before a VA loan can close on it. The radon gas inspection requirement is gone entirely. Standards for homes built before and after 1978 were rewritten. Guidance on non-vented heaters was updated, along with rules covering detached structures and Specially Adapted Housing jurisdiction. All of it is already in effect, folded into Chapter 12 of the VA Lenders Handbook.
The radon change is the one to remember. It was a frequent point where a VA offer stalled while a conventional or cash offer on the same house moved through without issue. That friction is gone now, by federal directive.
VA is also adjusting appraisal fees in select regions to keep its pool of qualified appraisers competitive. Average appraisal turnaround was seven business days as of the end of May.
📊 MARKET PULSE
What actually kills a contract
NAR's Realtors Confidence Index consistently shows roughly 5-7% of contracts terminating in any three-month period, with another 13-14% facing delayed settlements. The causes are consistent month over month: home inspections, buyer financing, and appraisals. Appraisal-related delays alone account for 6-7% of contracts nationally.
That's the category the MPR changes above are aimed at. Fewer required repairs on a VA file means fewer appraisal-driven delays for that specific reason, on the offers in your pipeline that involve VA financing.
There isn't a clean published number breaking out VA-specific termination or close rates against conventional. If a seller raises the "VA offers don't close" objection, the honest answer is that no major source tracks that comparison directly, and the same handful of issues, inspection, financing, appraisal, sink deals regardless of loan type.
This Week in VA Rates: El Paso County
30-Year VA Purchase: 6.59% (up from 6.24% last week)
30-Year VA Refinance: 5.95% (down from 6.22% last week)
One to watch: VA purchase rates are currently running above both conventional (6.47%) and FHA (6.48%), a reversal from the usual pattern where VA prices below both. Refinance tells the opposite story, VA sits nearly 70 basis points below conventional there. If a client is comparing loan types this week, which side of the transaction they're on changes the math. Run both quotes rather than assuming VA wins by default. Averages are just that. Lender rates vary, sometimes significantly, and anomalies such as today’s are unlikely to persist for long.
[Source: Bankrate, July 1, 2026]
🏠 THE FINE PRINT
VA Loan Assumption Could Get More Expensive
A bill moving through Congress, H.R. 6047, would raise the cost of assuming a VA loan. The current assumption fee is 0.5% of the loan balance. Under the bill it doubles to 1%. On a $400,000 assumed balance, that's $2,000 versus $4,000 due at closing.
The same bill would raise the IRRRL refinance fee from 0.5% to 1.42%, a jump the mortgage industry is pushing back on.
Nothing has passed yet. If you have a listing where the seller's existing VA rate is the draw, flag this to the seller now. The cost of assuming that loan may not stay this low much longer.
[Source: HousingWire, June 26, 2026]
💼 THE BROKER ADVANTAGE
The Exemption Most Lenders Miss
Since 2021, more than half of veterans who got a VA-guaranteed home loan didn't pay the funding fee at all, exempt through service-connected disability compensation. On a $400,000 loan at the standard 2.15% fee, that's $8,600 a buyer either pays or doesn't, depending on whether anyone checked. [Source: VA News]
Direct-to-consumer lenders process volume. They don't always pull a buyer's disability rating before running numbers. A wholesale broker checks exemption status as a standard step in qualifying the file, before the buyer ever sees a quote. If your client is a disabled veteran and their pre-approval includes a funding fee they shouldn't be paying, that's worth a phone call.
If a disabled veteran's pre-approval or Loan Estimate includes a funding fee, that's a number worth double-checking before they sign anything.
💹 RATE TABLE
Current VA Loan Rates — El Paso County
Loan Type | Interest Rate | APR | Notes |
|---|---|---|---|
30-Year Fixed VA Purchase | 6.59% | 6.64% | No PMI, Zero-down |
30-Year Refi VA | 5.95% | 6.08% | Streamline refi; No appraisal required |
30-Year Conventional | 6.47% | 6.54% | For comparison purposes |
Rates reflect national averages as of July 1, 2026 per Bankrate's weekly lender survey. Rates change daily and are not a commitment to lend. Your clients' actual rate will depend on credit profile, loan amount, property type, and individual file characteristics. Contact Gene for current pricing.
Gene Richter, NMLS #2806488 · PBT Bancorp, NMLS #257781
🏠 Equal Housing Opportunity
🗣️ SCRIPT OF THE MONTH
When a Listing Agent Hesitates on Your VA Offer
The situation: A listing agent tells you that your buyer’s offer won't be considered because the seller "doesn't want to deal with a VA appraisal."
What most agents say: "VA loans are basically the same as conventional, I promise it'll be fine."
What you should say instead:
"I get that reputation, but VA just removed the radon inspection requirement entirely as of this month, and tightened up several other appraisal rules that used to slow things down. At this point a VA appraisal is closer to a conventional one than ever. I'd rather walk you through what changed than have your seller pass on a qualified buyer over something that's no longer true."
Why this works: The first version asks the listing agent to take your word for it. The second gives them a specific, recent, checkable fact: the radon requirement is gone as of June 25, which they can verify instead of just trusting you. It also reframes the seller's objection as outdated information rather than a valid concern, which is a much easier position to argue from than "trust me."(Source: VA Lenders Handbook, Chapter 12)
Questions about a specific file? Call or text: (719) 722-4278
Use this word-for-word or make it your own. The goal is confidence at the listing table.
👋 UNTIL NEXT MONTH
If this issue helped you see one VA file differently, it did its job. Forward it to one agent in your office who works with military buyers.
— Gene Richter, Licensed Mortgage Loan Originator NMLS #2806488 · PBT Bancorp NMLS #257781 · Colorado Springs, CO (719) 722-4278 · VASpotlight.com
🏠 Equal Housing Opportunity | This newsletter is intended for real estate professionals and does not constitute a consumer credit advertisement. Rates shown are national averages for informational purposes only and are not a commitment to lend. Not all borrowers will qualify. This content does not constitute tax, legal, or financial advice — consult a qualified professional for guidance specific to your situation. Gene Richter is a licensed Mortgage Loan Originator (NMLS #2806488) operating through PBT Bancorp (NMLS #257781), licensed to originate mortgage loans in Colorado.