NY S02506

Establishes a "Veteran's Home and Land Ownership Loan Fund" administered by the New York State Housing Finance Agency to provide loans to honorably discharged veterans and surviving unmarried spouses.

Authorizes loans up to 20 percent of home purchase value or $40,000 for unimproved real property, secured by a second mortgage on the purchased property.

Limits loan terms to the length of the first mortgage, except for graduated payment mortgages which may extend up to 30 years, with interest rates and repayment terms determined by the Agency.

Authorizes the Agency to issue up to $20 million in bonds and notes to fund the program, with bond maturities not exceeding 30 years.

Defines eligible veterans as those who served on active duty during specified wars (World War I through Persian Gulf Conflict) or received Armed Forces Expeditionary Medals, with the act taking effect 180 days after enactment.