H
OME & GARDEN
October 28, 2025 – Visalia, Calif. (KFSN)
A month into the federal shutdown, the real‑estate market is feeling the strain. Homebuyer Lisa Brown says, “It’s frustrating because the usual channels are shut or understaffed.” With agencies short‑staffed, obtaining FHA paperwork can now take weeks. “I’m packing my house, hoping escrow will close, but I’m not sure if the required documents will arrive by the 30‑day deadline,” she explains, buying a property out of state.
A local broker notes that while business remains steady, FHA and conventional loans are only slightly affected. VA loans face roughly a two‑week delay. “For any federal‑approval step, consider a 30‑ or 45‑day escrow clause so you don’t need to request an extension,” advises Cesar Gomez of Century 21 Jordan‑Link & Co.
Loan specialists point out that the Department of Agriculture has halted new USDA loan approvals, which target low‑to‑moderate income buyers. FEMA has also suspended new flood‑insurance policies and renewals. “Clients in flood zones must secure private coverage during the shutdown,” says Visalia Money Store manager Lizbeth Williamson.
Williamson stresses that buyers should anticipate delays and submit all paperwork early. “We inform clients that the shutdown may add time, so we gather everything upfront to speed processing,” she says. Gomez adds, “If you’re a federal employee, it may be wise to pause until the situation clears.”
Industry leaders remain vigilant, preparing for further obstacles while hoping for a swift resolution. For South Valley updates, follow Kassandra Gutierrez on Facebook, Twitter, and Instagram.
