shutdownFor the most part, Texas is doing OK during U.S. government shut down, but it still is hitting the state’s most vulnerable citizens the hardest, according to a recent report on the states most and least affected by the 2019 shut down.

The report, compiled by analysts at WalletHub, compared all 50 states plus the District of Columbia across five metrics, including each state’s share of federal jobs to the share of families receiving food stamps.

“When the government shuts down, certain federal employees work without pay or receive a furlough,” the report explained. “This includes over 41,000 law enforcement officers, 52,000 IRS workers and 96 percent of NASA employees. ‘Non-essential’ government services also remain inactive and certain benefits are liable to run out of funding.” (more…)

By Lydia Blair
Special Contributor

In case you’ve been out of touch lately, we’re experiencing a federal government shutdown.

The U.S. government doesn’t shut down too often. But when it does, there is a ripple effect. Some areas feel the effects more than others. We shouldn’t feel it too much in the title business unless it continues. The longer the shutdown lasts, the more likely it is we will feel a negative impact on DFW real estate market.


It’s a critical week for housing, says Bob Johnson (AKA BobMortgage) in our Mortgage Report. With the federal government thrown into chaos after a shutdown and a turbulent stock market, should you lock or float? 

Arm yourself with information in these quickly changing times from our most-trusted mortgage expert, senior mortgage adviser for the nation’s oldest private lender — Wallick & Volk. 



As Joanna told us earlier, the shuttering of Washington, D.C. is taking a toll on the real estate market somewhat. You may recall Paige Phelps, who worked in Dallas for People Newspapers then for The North Texas Food Bank.

“It’s a USDA rural home loan (I’m in Marfa now) and I’ve been approved,” says Paige. “It’s just they can’t close on government loans during the shutdown. Due to the government shutdown, USDA is closed until further notice and we are not able to close/fund until we hear otherwise. I have extended the lock through 10/9/13. This is also the same day that the loan completely expires. If we do not close and fund by the 9th, I will need to have updated bank statements and paystubs. We are researching now to find out if that would involve sending your loan back to USDA again to be updated or not. Since we can’t contact anyone at USDA right now, our underwriters are trying to figure that piece out for us. I wish I had better news for you. #killmenowMarfa, Texas

Bummer. The folks at Inwood Bank here in Dallas tell me they received several calls today from real estate agents who were informed by their lenders that they would not be able to close on their purchase transactions at the end of the month due to the government shut-down.

Well, maybe they need to find different lenders?

“During the mortgage crisis of 2008, it was very difficult for borrowers to find a lender willing to make jumbo loans,” says Robert Poe, senior vice president. “Inwood National Bank was there for borrowers.”

Robert says Inwood Mortgage has set aside a limited amount of funds for a limited time to meet the needs of the local community. Since Inwood National Bank has the ability to fund and retain these loans, the government shut-down will not affect their ability to close these loans on time. As always, they will approve these loans in-house and will use local appraisers to perform the appraisal.

CD: I understand that lenders are not able to verify social security numbers or verify IRS returns because the IRS offices are closed, too? You don’t need these departments to proceed?

RP: That’s right, because we don’t have to sell these loans in the secondary market. They stay right here under our roof, so we don’t have so many hoops to jump through.

CD: How long before you think this might reach critical levels, if at all?

RP: Whenever it affects someone’s ability to close on a house, it is affecting people and their financial lives and could possibly get worse.

For more information, contact Inwood Mortgage Group at (214) 351 – 8730.


Like they say, there’s good news and there’s bad news.

Realtors and brokers won’t come out unscathed from the federal government shutdown, as a report from the National Association of Realtors shows. If you’ve got a closing coming up, best be prepared to have some hiccups.

While the NAR report says that FHA will “continue to endorse new loans in the Single Family Mortgage Loan Program, multi-family loans won’t be processed. VA loans will be processed, too, and flood insurance from FEMA will get a government stamp, and Fannie Mae and Freddie Mac are still keeping the gears greased.

On the flip side, if you have to process IRS forms or verify Social Security numbers through the SSA, you’re out of luck because these offices are closed.

Read the whole document below.

NAR Government Shutdown Brief