H.R. 5728

[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 5728 Introduced in House (IH)]

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119th CONGRESS
1st Session
H. R. 5728

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

Mr. Costa (for himself, Mr. Bacon, Mr. LaMalfa, Ms. Balint, Mr. 
Sherman, Ms. Salinas, Ms. Pettersen, Mrs. Beatty, and Mr. Valadao) 
introduced the following bill; which was referred to the Committee on 
Financial Services

_______________________________________________________________________

A BILL

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.

Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 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 (42 
U.S.C. 1472(h)(10)) is amended to read as follows:
``(10) 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 (42 U.S.C. 1472) on or after the date of enactment of this 
Act.
(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 (42 U.S.C. 1472) to charge fees to borrowers for 
transaction costs associated with the loan.
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