Homebuyers face delays as government shutdown drags on
The ongoing government shutdown is disrupting the homebuying process and jeopardizing dreams of homeownership.
Chase Franklin is a hopeful homebuyer planning a move from North Dakota to Kansas. He is planning to buy a home with a U.S. Department of Agriculture-backed mortgage.
"The government shut down, and so my lender got back in touch with me and she said, 'Unfortunately, we're not going to be able to close until the USDA reopens,'" Franklin said.
Franklin told CNN the situation is frustrating.
"There was a full gamut of emotions. I mean, there was anger, there was frustration. I, I mean, there was like, why is this happening now?"
Franklin is not alone in this predicament.
Anthony Smith, a senior economist at Realtor.com, said the shutdown is impacting homebuyers across the country — in both rural and urban areas.
Smith noted that first-time homebuyers are particularly affected by the shutdown.
“That’s going to be really one of the biggest cohorts that are going to be impacted by this,” Smith said of first-time homebuyers.
Before the shutdown, rising home prices had already slowed the housing market. The shutdown is causing further complications, according to Smith.
“The housing market was definitely somewhat frigid, and so this adds more chill to a situation that didn’t need any more cooling off altogether,” Smith explained.
As the shutdown continues, the uncertainty surrounding the housing industry grows.
Franklin has a message for lawmakers in Washington, D.C.
"Recognize that the decisions that you were making are impacting far more people than you realize. And that the decisions that you're making are also affecting voters who will remember this when it comes around to election season," Franklin said.
