G
eorge Sanchez, a seasoned broker with 25 years in real estate, launched Simple Real Estate in 2009 to serve clients in both English and Spanish. He constantly adjusts to market shifts, noting that any HUD policy change ripples through FHA programs and financing, forcing state‑level form updates to stay compliant. The recent federal shutdown has amplified obstacles. USDA and VA loan offices are understaffed, while buyers face new documentation hurdles: the IRS must verify tax returns, and with the agency closed, transcripts now take months instead of days. Michelle Barron, a community mortgage loan officer, reports that these delays halt closings. Both Barron and Sanchez warn that uncertainty keeps buyers anxious about closing dates and rate locks. Federal employees seeking loans are especially affected; even if they received pay on Oct. 15, future payments are uncertain, and lenders cannot verify income, raising risk. Properties can return to the market, costing buyers thousands already spent on inspections, appraisals, and earnest money. Families may find themselves at the end of leases, with the shutdown adding extra time to move, compounding stress. Sanchez notes that Real Estate’s approach has become even more critical as clients navigate these hurdles. The staff is working overtime to keep up with the backlog, but the lack of federal staff means many loan applications are stalled. Buyers who have already paid for inspections and appraisals face the possibility of having to return the property to the market, losing time and money. For renters, the 30‑day window can mean scrambling for new housing or extending leases at rates. The shutdown ends, the effects will linger, with underwriters juggling a surge of files and the market adjusting to a backlog of transactions. Even after reopening, Sanchez and Barrera predict lasting repercussions. Underwriters will feel the pressure, and a backlog will grow the longer the shutdown persists.