With the government shutting down there are many of us uncertain and with many questions and concerns of how it will affect us.  Especially if you are in the process of getting a mortgage (refinance or purchase).  How does this affect your loan process and loan approval?

The best answer I can give is that you will need to expect delays.  The main services that will be affected by this shut down will be the ordering of IRS tax transcripts.  The reason this is important, is you will be unable to close on your loan without the IRS tax transcripts having been received.  Other delays could occur with social security verifications, flood certificates, FHA case numbers and a few more services required for loan processing and final approvals.

This doesn’t give you a definitive answer except for the fact you will just need to know that there will be delays and if you are under contract you should discuss with your lender if any part of your loan process will be delayed due to the shut down.  This way they can communicate with your Realtor if any adjustments need to be made to your purchase contract, such as Loan Conditions deadline, appraisal deadline, etc.  Communication is key!

If you have any questions or would like to discuss please contact us.

Staying positive,

Ray Williams