VA Partial Claim Program helps Veterans stay in their homes

By Shawn Liu, National Homeless Program Manager, VHA Homeless Programs Office

August 17, 2026

Preventing homelessness does not always begin with finding a new place to live. Sometimes, it means helping a Veteran remain safely and securely in the home they already have.

In June 2026, VA launched the Partial Claim Program, giving eligible Veterans experiencing financial hardship another option to avoid foreclosure and remain in their homes. The program expands the range of foreclosure-avoidance tools available through VA and mortgage servicers to help Veterans remain stably housed.

By providing options to address financial hardship and avoid foreclosure, VA is helping more Veterans maintain housing stability, an important factor in preventing homelessness before it occurs.

Tackling homelessness before it happens

When a Veteran falls behind on a VA-guaranteed mortgage, catching up on missed payments all at once may not be realistic. The VA Partial Claim Program offers another path for eligible Veterans who are able to resume making regular mortgage payments. To qualify, Veterans must complete a 3-month trial payment plan and demonstrate that they can make their mortgage payments on time and remain current going forward.

After successfully completing the trial, the servicer pays the overdue amount needed to bring the mortgage current, and VA reimburses the servicer for that amount. The overdue amount becomes a VA partial claim that generally does not require immediate repayment. Instead, the Veteran repays the partial claim when the mortgage is paid off, refinanced, or when the home is sold.

For a Veteran who is struggling to catch up, having a way to address missed payments without paying the full amount at once can make an important difference.

Help is available before foreclosure

The VA Partial Claim Program is one of several options available to Veterans who are having trouble making their mortgage payments. Depending on their circumstances, Veterans may also qualify for repayment plans, special forbearance, or loan modifications. VA loan technicians can help Veterans understand these options and work with their mortgage servicer to identify an appropriate solution.

Veterans with VA-guaranteed loans do not have to navigate these challenges alone. VA may assign a loan technician to assist borrowers who become seriously delinquent on their mortgage, helping them understand available options and work toward a resolution that can help them stay in their homes.

Housing instability can develop quickly when a Veteran is facing financial hardship, and losing a home can create additional challenges for maintaining employment, caring for family, and meeting other basic needs. This is why early intervention and support matter. In fiscal year 2025, VA worked with mortgage servicers to help 173,000 Veterans avoid foreclosure.

Veterans do not have to wait until they are facing foreclosure to ask for help. VA encourages Veterans who are having trouble making their mortgage payments to contact their loan servicer right away. Veterans can also contact a VA loan technician for counseling and guidance on available options at 877-827-3702 (TTY: 711), Monday through Friday, 8:00 a.m. to 6:00 p.m. ET.