Government Shutdown Affect on Real Estate

How exactly does a government shutdown affect real estate? So long as it doesn’t drag on too long, the main and immediate impact is the slow down or temporary postponement of the origination of some mortgages and other real estate loans. And that can be very significant since most real estate closings involve a buyer obtaining a loan. If the loan doesn’t fund, the deal doesn’t close and that’s usually bad news for all the parties involved. The following provides you with very specific details on which loans are affected and how; so that you can be prepared and make adjustments accordingly.

Comments

  1. Ricky pirtheesingh says:

    Can i get a free book?

  2. We would love to learn more about this government shout down and real estate investing please

  3. Awesome as usual!

  4. Good to know. Thanks Phil.

  5. Very interesting observation. I presume the government employees will get back wages for their “paid vacation” after the government is reinstated.

  6. Thank you sir

  7. I live in a high end market, the Monterey Peninsula(Calif), where many homes sell for a $1K/sq ft…how would you go about finding discounted properties? Keep up the good work. Scott

    • Phil Pustejovsky says:

      The exact same way we go about it in areas that sell houses for $50 per square foot. The techniques for finding the best off-market deals are the same regardless of the prices of the property.

  8. Good information. Thanks Phil

  9. DavidBmeyers says:

    A variance is noted between residential and commercial RE. The difference in government involvement is significantly greater in residential.

    By contrast, we find commercial RE presents less observant , thus the difference in involvement.

  10. WOW! Real Estate Market is about to get “TRUMPED” due to the Government Shut Down! How will this affect the Stock Market, Federal Reserve/Central Banks and the IRS? Hmmm…….🤔🤔🤔 Bet that the BANK of LONDON and CHINA are in PANIC MODE! The “Art of The Deal” in Action! LOL! 😂

  11. Thank you much. Merry Christmas to you and family

  12. Kristen Bancroft says:

    Curious: Is an anticipated government shutdown a reason for Fannie Mae to sell mortgages to other companies (before the shutdown)? Or for what reasons would Fannie Mae sell mortgages they own?

  13. Virtudes Sellstrom says:

    Wonder how long the govt. Shutdown will be? Will it affect some home refinancing too?

  14. Jimmy, as a longtime federal employee until recently. The employees will most likely not get paid for this time off of work. I have experienced a government shutdown and was not paid. My only hope is that they return to work ASAP.

  15. Need to learn more a bout this.

  16. Ruben Zuniga says:

    Phil I would like for you mentor me on real estate properties.

  17. Thanks Phil. As a government employee this video really hits home. Thanks for sharing your perspective and depth of knowledge and instruction on the ripple effects a government shutdown has on the real estate market.

  18. Adegbenga Onasanya says:

    Phil has been wonderful in explaining things. He is an explainer -in-chief

  19. Kevin Cross says:

    Great topic. There is not a private insurer who provides Flood Insurance that I have been able to find. The damage done by floods is generally so pervasive and covers such a large area, that there the private market dropped out long ago. If someone knows of a private provider, let me know. I have not been able to find one in over 10 years.

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