This bill aims to alleviate the financial burden on certain disabled veterans and their surviving spouses by prohibiting financial institutions, such as State-chartered banks, mortgage companies, and credit unions, from requiring them to disclose anticipated property tax obligations when applying for a mortgage loan for their principal residence. Specifically, it applies to qualified veterans who have been declared by the United States Department of Veterans' Affairs to have a 100 percent service-connected disability. The bill stipulates that these individuals will not need to include property tax obligations in their mortgage applications, provided that the local assessor certifies their eligibility for the disabled veterans property tax exemption, excluding property ownership.

Additionally, the bill amends existing law to streamline the process for veterans and their surviving spouses applying for property tax exemptions. It requires them to submit a preliminary application for a property tax exemption alongside their mortgage application, which includes necessary documentation to establish their eligibility. The bill also mandates the Commissioner of Banking and Insurance to publish a list of financial institutions available for veterans seeking mortgages and to create necessary regulations and forms to implement these provisions. Overall, the legislation seeks to simplify the mortgage application process for disabled veterans and their families, making it easier for them to secure housing without the added stress of property tax obligations.

Statutes affected:
Introduced: 54:4-3.31