Is the Government Shutdown Affecting Business?
October 9, 2013
As the government shutdown drags on, many question whether we're getting any closer to a resolution or whether each day takes us farther away from some sort of workable compromise. We try not to get too political with The Talk topics we kick around, but this is a pretty tough situation to ignore. While a two-week government shutdown is unlikely to have a large impact on housing and the economy, a shutdown that spans a month or more could be quite costly, according to NAHB's most recent "Eye on the Economy" report. Among the potential repercussions: possible delays in FHA-insured single-family loan approvals, FHA multifamily insured financing, rural housing loans, and E-Verify for hiring. Additionally, with the closure of the IRS, it may be difficult for prospective homebuyers to acquire lender-required forms to obtain mortgages, NAHB analysts point out.
And as October 17th draws closer, if we don't resolve our country's debt-ceiling situation, our economy could suffer significant repercussions.
What do you think? Will our elected leaders allow us to default on our debt, or will reason prevail in the final hours to avoid this type of situation from playing out? Some analysts predict that the extended government shutdown, coupled with defaulting on our debt payments, could throw us into another recession. Do you think this is concerning enough to slow the U.S. consumer from reaching for his or her wallet to pay for home improvements? Has the government shutdown and pending debt ceiling crisis affected your business? Please send an email or post a comment to share.
Survey Results for 10/09/2013 :
Has the government shutdown affected your business?
No, and I doubt it will.
Not yet, though I expect it will.
Yes, buyers are skittish.
I'm not sure yet.