Government shutdown impacts Tri-Cities real estate

Government Shutdown Impacts Real Estate

JOHNSON CITY, Tenn--On Day 21 of the government shutdown, many in the Tri-Cities are the feeling the impact.

"If you've got to pay rent, you've got to pay rent... and I don't think your landlord is going to take this as an excuse," said Second Harvest Food Bank's, Aaron Snukals.

Second Harvest Food Bank is lending a helping hand, by providing food to local TSA workers who are not getting paid.

"You've still got to pay your credit card've got to pay everything so...if we can just take a little bit of the load off to them by providing them some food so they can use their money for other things, then that's what were here for. "

According to Bill Hall, the co-owner of Premier Homes & Properties, the government shutdown has also created a small decline in potential home buyers.

" In high value decisions people pull back on it and wait for everything to be cleared up before they move forward and process it," said Hall.

The U.S. Department of Agriculture isn't approving new USDA loans during the shutdown. FHA loans could also be delayed. The IRS is operating at 15 percent staffing levels, which means lenders may encounter problems verifying income if tax transcripts can't be verified.

Hall also noted that flood insurance can't be written while the government is on shutdown.

Johnson City resident Neil Lloyd knows those concerns, he's trying to sell a home in Bristol.

"I'm hoping this shutdown doesn't slow it down...because I really need to get it sold," said Lloyd.

Hall hopes the shutdown ends soon, so brokers can get back to helping people find their dream home.

"The longer we stay shut down, the more people it will affect," he said.

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