Trump ends VASP mortgage rescue program after 10,000 veterans lost homes

As of April 2, 2026, more than 10,000 veterans had lost their homes to foreclosure since the Trump administration abruptly ended the Veterans Affairs Servicing Purchase (VASP) program on May 1, 2025, giving servicers one week's notice. VASP had given over 33,000 veterans behind on payments new mortgages at 2.5% interest. VA-backed foreclosures reached their highest level in a decade as of April 2026. Congress passed a replacement partial-claim program in July 2025, but it was not fully operational a year later.