Real Estate Tips

How Does the Government Shutdown Affect Home Buyers?

You may have heard about the partial government shutdown currently taking place at the Federal level. What you may NOT realize is that the shutdown can affect your home buying process. We asked Greg Freeman at Scissortail Financial what our clients should be on the lookout for, and here is what he said:

Conventional, VA and FHA – loans should be able to close as usual, unless they involve one of the following issues as well.

Rural Development – loans involving conditional commitments could have issues as those commitments will not be issued during the shutdown, and loans will not be permitted to close without the commitment.

Section 184 – COHORT numbers and case numbers will not be issued during the shutdown. Files can be underwritten but cannot close without the COHORT.

Tax Transcripts – transcript orders will not be processed during the shutdown, so loans requiring transcripts for closing will be unable to close until transcripts can be generated.

We hope this info helps! If you have any further questions, please feel free to reach out!

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