Mon October 14, 2013
Government Shutdown Creating Some Obstacles For Homebuyers
The partial government shutdown is proving to be a problem for some American home buyers. Most lenders require income verification through the IRS. The verification requirement is problematic because most IRS functions have been suspended.
Victoria Doran, president of the Rhode Island Association of Realtors, says it hasn’t caused a logjam yet but will if the government shutdown continues much longer.
"I think it’s concerning. We finally, you know, see our market moving in the right direction and this makes buyers a little bit nervous and rightly so. They might have to go to a different product for their mortgage," said Doran.
Some lenders are approving mortgages without IRS income verification but they do so at a risk.
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