Government shutdown and mortgages — what you need to know

If Congress shuts the government tomorrow (i.e., tonight at midnight), how will that affect mortgages? With Fannie and Freddie backing 90+ percent of them, and FHA loans being so popular, it’s an important question.

CNN has the answers, but here’s the gist:

Fannie and Freddie will continue to operate. They aren’t funded by the government; they make their money via fees.

However, FHA, VA, and USDA loan applications won’t be processed.

The good news is that government shutdowns don’t tend to last very long. There have been 17 of them since 1976 — the longest lasted 21 days; the median was just 3 days.

About Andrew Kantor

Andrew is VAR's editor and information manager, and -- lessee now -- a former reporter for the Roanoke Times, former technology columnist for USA Today, and a former magazine editor for a bunch of places. He hails from New York with stops in Connecticut, New Jersey, Cincinnati, Columbus, and Roanoke.
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