If you have turned on a tv, listened to the radio, or tried to go to any government buildings this week you probably already know that the Federal Government is partially shut down. It has closed many but not all government run institutions. If you are in the middle of getting a loan for the purchase of a home or refinancing your current home loan you are probably wondering how the shutdown will affect you.
We are only 3 days into the shutdown. If you are seeking a Conventional, FHA, or VA loan it is pretty close to business as usual. If you are seeking a Rural Development loan it is a different story. Non-essential government employees are not working during the shutdown, so currently RD will not be able to make any new loans or grants. If your loan has received a conditional commitment from RD, then you will close your loan as scheduled. If you are in the middle of the underwriting process, closing will be delayed until the government shutdown is over.
So far, most loans are not being affected by the government shutdown. RD loans are the most affected, but should bounce back to normal once the shutdown is over. If you have questions about your particular loan, please contact your mortgage lender.
Remember if you want to go house hunting it is wise to get pre-approved by a lender first. The shut down does not affect basic pre approvals, so call us today!