topic Re: Government Shutdown and FHA Loans--Closing in Oct in Mortgage Loans

Government Shutdown and FHA Loans--Closing in Oct

Linr — Sun, 29 Sep 2013 16:15:44 GMT

How will the government shutdown effect FHA loans for those of us who were on track to close in October? I'm not sure at what point in the process the FHA actually gets involved.

Re: Government Shutdown and FHA Loans--Closing in Oct

Linr — Mon, 30 Sep 2013 00:54:16 GMT

Hahaha it looks like everyone here knows about as much as my realtor---"We don't know, let's just hope it doesn't happen." Good luck everyone!

Re: Government Shutdown and FHA Loans--Closing in Oct

birjest — Mon, 30 Sep 2013 01:24:43 GMT

According to CNN Money, FHA and VA loans that have not been approve, will have to be process at the end of the shutdown.

Re: Government Shutdown and FHA Loans--Closing in Oct

blunderer — Mon, 30 Sep 2013 01:41:43 GMT

This was on the usnews website:

LOANS

Many low-to-moderate incomes borrowers and first-time homebuyers seeking government-backed mortgages could face delays during the shutdown. The Federal Housing Administration, which guarantees about 30 percent of home mortgages, wouldn't underwrite or approve any new loans during the shutdown. Action on government-backed loans to small businesses would be suspended.

Like OP said let's hope there won't be a government shutdown for various reasons.

http://usnews.nbcnews.com/_news/2013/09/29/20745618-a-government-shutdown-what-could-it-look-like?lite

Re: Government Shutdown and FHA Loans--Closing in Oct

armywifelong03 — Mon, 30 Sep 2013 02:52:00 GMT

I just found this. We just went into processing on Thursday and our appraisal is scheduled for Tuesday or Wednesday. I am sure our appraisal would be delayed a bit, but I am hopeful that everything else moves on time. We already have our COE and everything from the VA, except the appraisal, so we shall see...

43. Does that mean I can't get an FHA mortgage? No. The Federal Housing Administration says it "will endorse new loans under current multi-year appropriation authority in order to support the health and stability of the U.S. mortgage market."

44. Does that mean I can't get a VA mortgage? No. The Department of Veterans Affairs says loans are funded via user fees and should continue. However, during the last shutdown, "loan Guaranty certificates of eligibility and certificates of reasonable value were delayed."

Re: Government Shutdown and FHA Loans--Closing in Oct

armywifelong03 — Mon, 30 Sep 2013 03:06:17 GMT

Sorry, also this. On va.gov, its a field guide to government shutdown.

http://www.va.gov/opa/docs/Field_Guide_20130927.pdf

Re: Government Shutdown and FHA Loans--Closing in Oct

Linr — Mon, 30 Sep 2013 14:34:39 GMT

Thank you! I acutally just received an email from my lender saying that she did not believe it would effect my loan, but with no further info, i.e. "You're far enough along in the process" etc. Thanks!

Re: Government Shutdown and FHA Loans--Closing in Oct

Linr — Mon, 30 Sep 2013 14:39:12 GMT

I also want to add that I realize that there are far worse impacts of a shutdown, and delaying my closing date is not the end of the world. I feel terrible for those that could potentially loose a paycheck, that would really do us in right now! Best of luck to everyone and hopefully those jokers (all of them, I am totally non-partisan in my beliefs about these clowns) can get a clean bill through. The wait to close is just unbearable sometimes, and it has put me a little on-edge.

Re: Government Shutdown and FHA Loans--Closing in Oct

DFWsahd — Mon, 30 Sep 2013 15:33:46 GMT

Yes I am not concerned about the shutdown, but concerned about my full time job. If the new health care goes into effect , I will be moved to a part time job thanks to the stupid healthcare bill, that the senators got an exempt for. Funny how they want to make us(the individual) use that health care yet they don't want it for themselves, even though they voted in that disaster of a law.

Re: Government Shutdown and FHA Loans--Closing in Oct

DallasLoanGuy — Mon, 30 Sep 2013 18:28:40 GMT

@blunderer wrote:
This was on the usnews website:

LOANS
Many low-to-moderate incomes borrowers and first-time homebuyers seeking government-backed mortgages could face delays during the shutdown. The Federal Housing Administration, which guarantees about 30 percent of home mortgages, wouldn't underwrite or approve any new loans during the shutdown. Action on government-backed loans to small businesses would be suspended.

Like OP said let's hope there won't be a government shutdown for various reasons.

http://usnews.nbcnews.com/_news/2013/09/29/20745618-a-government-shutdown-what-could-it-look-like?lite

the federal govt doesnt underwrite or approve fha loans.