VA HB304

Requires conventional home mortgage loans secured on or after July 1, 2026, to include provisions allowing a borrower to assume their co-borrower's portion of the mortgage in connection with an annulment or divorce decree, if the assuming borrower qualifies for the loan

Applies to owner-occupied residential properties with four or fewer dwelling units located in Virginia

Mandates lenders disclose the assumption provision in writing to loan applicants within three days of receiving a completed application

Defines "conventional home mortgage loan" as loans for personal, family, or household purposes secured by owner-occupied residential property; excludes federally insured or guaranteed mortgages

Existing law already requires mortgage holders to respond within 10 business days to written requests about assumption terms and limits fees for additional requests to $15