January 22, 2018, Department of Housing and Urban Development - Because of the government shutdown, FHA’s Office of Healthcare Programs has prepared the following questions and answers regarding our operating plans. We greatly regret the inconvenience that this has caused, but hope the following is helpful during this time.
Q: We have received a mortgage insurance commitment and are scheduled to go to closing. Can the loan closing occur as planned?
A: Loan closings will occur during the shutdown if an insurance commitment was issued before the government shutdown.
Q: Will construction draw requests, construction or environmental inspections, or change orders for healthcare projects continue during the shutdown?
A: No, except that during the first 30 business days of a lapse in appropriations, Lenders servicing construction loans may, at their and Owners’ and General Contractors’ risk, process interim construction draws.
Q: How will the shutdown affect the review and underwriting of pre-applications and applications?
A: All review and underwriting activities will cease.
Q: Will HUD continue to process commitments and issue Firms so that we are able to rate lock?
Q: Will HUD continue to collect MIP?
Q: Will the Office of Healthcare Programs process emergency releases from reserve accounts?
A: Yes, on a limited basis.