Revises the Department of Veterans Affairs (VA) program which guarantees veterans' loans for the purchase of residential cooperative housing to remove a provision which limits to five years after a loan is guaranteed the use of loan proceeds to purchase stock or membership in a cooperative housing corporation.
Directs the Secretary of Veterans Affairs to ensure that a loan used for such purchase in a corporation that has been reviewed and approved by a lender approved by the Federal National Mortgage Association (FNMA, a/k/a Fannie Mae) is not denied solely because such corporation: (1) is not preapproved by FNMA; or (2) is an affordable limited equity cooperative.