Realtor Group Says Housing Sales Down 25% Due To Government Shutdown. Groups Demand End To Shut Down!
The government shutdown is affecting 11% on current clients. It is also affecting 11% on potential clients and 8% on other impacts.
The main reason for this impact is simple. The report showed 25% of affected homebuyers told the realtor group they decided not to buy due to general economic uncertainty.
And another 17% were affected by the delay of USDA loans and 13% experienced a delay due to IRS verification (which it just announced it will resume again.)
NAR Chief Economist Lawrence Yun said:
The housing industry was already facing market challenges before any government closure. The shutdown has made matters worse. A home purchase is a major expenditure that simultaneously involves a high level of excitement and anxiety. The current government shutdown adds another layer of unnecessary complication to the home buying process. The shutdown is causing tangible harm to potential buyers.
Realtor Group Catering To Low-End Buyers And Bipartisan Congressional Leaders Call For End To Shutdown
The letter also called on Congress to pass bills that provide strong funding for affordable housing and community development programs.
The National Low Income Housing Coalition is leading the charge of realtor groups. The groups also expressed concern over the shutdown’s immediate and long-term impact on affordable housing programs and low-income people.
The letter explained that individuals working without pay are at risk of being unable to cover their rent and mortgage payments.
NLIHC President and CEO Diane Yentel said:
The longer the shutdown continues, the more the lowest income people will be hard hit. Residents living in HUD-subsidized properties are some of our country’s most vulnerable people. The clear majority are deeply poor seniors, people with disabilities, and families with children. It’s incredibly reckless to risk the homes of our country’s lowest-income and most vulnerable people as perceived leverage for a border wall.
Read it in full, here.