H.R. 5728

119th CONGRESS 1st Session

To amend the Housing Act of 1949 to permit the assumption of loans under the Doug Bereuter Section 502 Single Family Housing Loan Guarantee Program.

IN THE HOUSE OF REPRESENTATIVES · October 10, 2025 · Sponsor: Mr. Costa · Committee: Committee on Financial Services

Table of contents

• H.R. 5728
  • SEC. 1. Short title
  • SEC. 2. Assumption of loans under the Doug Bereuter Section 502 Single Family Housing Loan Guarantee Program

SEC. 1. Short title

• This Act may be cited as the Rural Homeownership Continuity Act of 2025.

SEC. 2. Assumption of loans under the Doug Bereuter Section 502 Single Family Housing Loan Guarantee Program

• (a) In general
  • Section 502(h)(10) of the Housing Act of 1949 () is amended to read as follows: 42 U.S.C. 1472(h)(10)
  • In general
    • (10) Assumption
      • Assumption
      • (A) In general
        • The Secretary may provide for the assumption of a current guaranteed loan made under this subsection by any individual qualified to receive a guaranteed loan under this subsection upon the transfer to that individual of the property for which the guaranteed loan was made.
      • (B) Release from liability
        • If a borrower of a guaranteed loan under this subsection transfers the property for which the guaranteed loan was made to an individual who assumes the guaranteed loan under subparagraph (A), the transferor, and any co-borrower or guarantor of the transferor, shall be relieved of liability with respect to the guaranteed loan.
      • (C) Assumption of obligations, rights, and interests
        • The Secretary shall provide in each assumption under subparagraph (A) for the assumption of the obligations, rights, and interests under the terms of the guaranteed loan or such other terms as the Secretary determines appropriate.
• (b) Applicability
  • The amendment made by subsection (a) shall apply with respect to loans guaranteed under section 502 of the Housing Act of 1949 () on or after the date of enactment of this Act. 42 U.S.C. 1472
• (c) Rulemaking
  • The Secretary of Agriculture may issue a rule to allow servicers of loans guaranteed under section 502 of the Housing Act of 1949 () to charge fees to borrowers for transaction costs associated with the loan. 42 U.S.C. 1472