How the 2013 Government Shut Down Will Impact Home Buyers and Sellers
Unless your Orange County home sale or purchase is all cash, you will most likely be impacted by the current government shut down. Specifically, the home loan or mortgage lending process will be delayed. For both Orange County home buyers and sellers, the loan approval and funding process will be delayed by the government shut down based on the need to access IRS and Social Security records.
- Lenders use IRS to for tax transcript request – for Conventional, FHA, VA loans
- Lenders use Social Security Administration to verify identification – for Conventional, FHA, VA loans
According to Leslie O’Neal with Movement Mortgage, both IRS processing of tax transcript requests and SSA identity verification have been put on hold until further notice.
This will lead to delays in processing loans, which will lead to delays in closing escrows. This can lead to other delays, particularly if there are contingencies where the close of one home is contingent upon the successful close of another home. Which may delay packing, moving, tenting for termite treatment, new appliance and furniture purchases, and a bevy of other activities linked with home sales and purchases.
If you are lucky enough to already be pre-approved by Movement Mortgage, you’ll appreciate the fact that they are the only lending institute I am aware of where the standard procedure is to request the tax transcript and the SSN verification at the time the pre-approval is requested. In that case, you will not be delayed by the current government shut down.
I’m Leslie Eskildsen– your Mission Viejo Realtor
Call me. 949-678-3373
Text me. 949-678-3373
Email me. Leslie@LeslieEskildsen.com
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