Certified Forensic Loan Auditors, LLC

 
  Upcoming Classes

Search CFLA's Article Archive:

Shutdown Threatens to Dent Slowing Housing Market

cbsnews.com | October 14, 2013

By Constantine von Hoffman

(MoneyWatch) The ongoing partial government shutdown is putting stress on a housing market already showing signs of slowing.

When hundreds of thousands of federal employees were furloughed, there were concerns that the inability to get records from the IRS and the Social Security Administration, along with insurance from the Federal Housing Administration, would bring home sales to a halt. Lenders use IRS data to check income, and information from Social Security confirms borrowers' identities.

But where there's money there's a way. Last week banks re-assured potential borrowers that they would come up with "work-arounds" for income verification, and so far they have. Many banks are following the lead of Fannie Mae and Freddie Mac, which only require IRS verification if the borrower is financing multiple properties.

Fannie Mae, Freddie Mac and the FHA insure the vast majority of U.S. mortgages, but so far there hasn't been much of a slowdown in that process. Because Fannie and Freddie are "quasi-government" agencies, they aren't affected by the shutdown.

By contrast, the FHA, which insures about 26 percent of all single-family loans, is part of the Department of Housing and Urban Development, where only roughly 60 of the agency's nearly 3,000 employees are working during the shutdown. But thanks to automation, many loans by owner-occupiers are being processed with little delay. Any loans needing flood insurance through FEMA, for self-employed borrowers or requiring Social Security number verification must be examined and approved individually. And the backlog on those is already growing and will only get bigger if the shutdown drags on. Rental housing properties needing FHA financing also have come to a complete halt.

The shutdown comes at difficult time for the housing market. Although sales and prices increased for much of the year, that momentum has slowed recently. The Mortgage Bankers Association recently reported that September mortgage applications for new homes decreased by 1 percent from the month before.

David Stevens, president of the MBA, said the real threat comes from the impact on an already shaky consumer confidence.

"The longer it goes, the greater impact it will have on borrowers, the housing market and the national economy," he said in a statement. "Different loan programs have different requirements, and these disruptions impact lenders in different ways, leading to confusion and fear among borrowers about whether they will be able to close on a home purchase or refinance."

© 2013 CBS Interactive Inc.. All Rights Reserved.

 

Back to October 2013 Archive

CFLA was founded by the Nation's Leading Foreclosure Defense Attorneys back in 2007 to serve the Foreclosure Defense Industry and fight pervasive Bank Fraud. Since opening our virtual doors, CFLA has rapidly expanded to become the premier online legal destination for small businesses and consumers. But as the company continues to grow, we're careful to hold true to our original vision. For us, putting the law within reach of millions of people is more than just a novel idea—it's the founding principle, just ask Andrew P. Lehman, J.D.. With convenient locations in Houston and Los Angeles, you can contact Our National Account Specialist and General Manager / Member Damion W. Emholtz at 888-758-2352 for a free Mortgage Fraud Analysis or to obtain samples of work product, including cutting edge Bloomberg Securitization Audits, Litigation Support, Quiet Title Packages, and for more information about our Nationally Accredited and U.S. Department of Education Approved "Mortgage Securitization Analyst Training Certification" Classes (3 days) 24 hours for approved CLE & MCLE Credit (Now Available Online).

SEE BELOW- http://www.certifiedforensicloanauditors.com

Call us toll free at 888-758-2352

Bookmark and Share
spacer
Facebook Like us on Facebook
Twitter Follow us on Twitter
YouTube View our YouTube Videos
LinkedIn Connect to us on Linkedin
 
BBB Logo

 

spacer
Contact us or view our Sample Documents & Audits by completing the form below.

  • Reload
  • Should be Empty:


 

DVD Sets Only $99

 

FREE Mortgage Fraud Analysis

 

Order Cutting-Edge Services Now

 

Quiet Title Packages from Licensed Attorneys

 

Affiliate Services

 

CFLA Sponsored Attorney Links

 

Take-Home Education Package

 

ALB Law Firm

 

Advocate Legal

 

The True News Network

 

Sutton Law Firm, P.L.L.C.

 

Rubenstein Business Law

 

Atighechi Law Group

 

Scunziano & Associates

 

Get Certified to Perform Mortgage Securitization Audits

 

CFLA Training Academy

 

Expert Witness Services

 

Cutting Edge Expert Securitization Reports

 

CFLA Credit Cards

 

Breaking News

 

Letters to the Editor

 

CFLA Weekly Newsletters

 

Code of Ethics

 

Testimonials

 

Instructional Videos

 

Job Opportunities

 

License Opportunities

 

MARS Rule

 

Product Samples

 

Resource Links

 

Servicer Information

 

Foreclosure Laws

 

REST Report

 

Quiet Title Packages from Licensed Attorneys

 

Advertise on CFLA

 

Advertising Space: Mortgage Securitization, Quiet Title

 

Certified Forensic Loan Auditors, LLC
13101 West Washington Blvd.
Suite 444
Los Angeles, CA 90066

Phone: 832-932-3951
Toll Free: 888-758-CFLA (2352)
Mobile Users: CLICK TO CALL
info@certifiedforensicloanauditors.com

   
 
CFLA IS NOT A LAW FIRM AND DOES NOT PROVIDE ANY LEGAL ADVICE. CFLA DOES NOT OFFER FORECLOSURE CONSULTING OR FORECLOSURE RELIEF
SERVICES. CFLA DOES NOT OFFER OR ASSIST WITH ANY LOAN MODIFICATION SERVICE. CFLA ALWAYS RECOMMENDS THAT CLIENTS RETAIN COMPETENT COUNSEL IN THEIR RESPECTIVE JURISDICTION. CFLA HAS A FREE PROGRAM TO REFER CFLA CLIENTS TO LAW FIRMS IN NEARLY EVERY STATE AND CFLA
DOES NOT CHARGE OR OBTAIN REFERRALS FEES FOR THESE SERVICES. SERVICES NOT OFFERED TO RESIDENTS OF THE STATE OF NEVADA.

 
Home About Us Privacy Policy Terms of Service Disclaimer SERVICES Careers Contact Us
 
COPYRIGHT © 2007-2016 Certified Forensic Loan Auditors ™ All rights reserved