HUD in The Government Shutdown

Learn about HUD services during a government shutdown, such as what happens with FHA loans.

These are the United States Department of Housing and Urban Development's (HUD's) Frequently Asked Questions (FAQs) in the event of a Government Shutdown:

Like all federal agencies HUD is required to develop a plan in case there is a lapse in appropriations, often referred to as a government shutdown. The plan is a publicly available document.

A. General Questions

Q: In the event of a government shutdown, will staff in my local HUD field office or at HUD Headquarters (Washington D.C.) be available to answer my questions or address concerns that I might have?

A: HUD will have an extremely limited number of employees to answer emergency questions during a shutdown. All HUD regional and field offices and HUD Headquarters will be closed with some limited exceptions for a very narrow range of activities that are permitted during a lapse in appropriations. In most cases, if you call or email the field office or Headquarters staff, you will hear a voicemail or receive a return email indicating that the Government is closed.

Q: Whom do I call concerning questions from local constituents who have emergency housing needs?

A: Please contact your local state or City housing office for referrals to local providers.

Q: Will previously scheduled meetings, monitoring and technical assistance visits, and trainings take place during a government shutdown?

A: No. Virtually all meetings, visits and appearances will be cancelled. HUD employees will not be traveling during the shutdown unless there is an emergency.

Q: How will the implementation of HUD’s shutdown plan impact the staffing?

A: If there is a shutdown, there will be two categories of employees: excepted and non-excepted. The vast majority of HUD employees are non-excepted, meaning that they are prohibited from working during a shut down. A very small number of employees are considered excepted. In determining whether an employee is excepted, the agency followed strict OMB guidance. The excepted number may be adjusted upward as needed with approval from OMB. All excepted employees can only carry out those activities allowed under the OMB guidance.

Q: Will I be able to access during a shutdown?

A: Yes, it will be open for business. Please visit

Q: How would a shutdown affect the deadline dates for the submission of applications in response to HUD’s Notices of Funding Availability (NOFAs)?

A: Should a deadline for the submission of applications in response to a HUD NOFA fall during the shutdown, HUD may be required to publish or post a notice extending the application deadline date for the NOFA. The notice would identify the NOFA and state that because of a lapse of appropriations, applications submitted to HUD during the shutdown might not have been timely received. In order to ensure basic fairness to all potential applicants a new deadline for applications would then be established. The overall impact may result in delay in reviewing and awarding funds for these programs.

Q: How will I know when the government’s funding has been restored?

A: The federal Office of Management and Budget (OMB) will make formal announcements when the government’s funding has been restored. You will also be able to follow whether Congress has passed a budget on the local and national news.

Q: I have an on-going contract with HUD that has been funded. May I continue to work on the contract?

A: HUD’s Office of the Chief Procurement Officer will provide direct, written guidance to each contractor’s contract manager as to the status of their contract. You should contact your contract manager for instructions.

Q: If I have a contract to provide on-site services, do I come to work?

A: HUD’s Office of the Chief Procurement Officer will provide direct, written guidance to each contractor’s contract manager as to the status of their contract. You should contact your contract manager for instructions.

Q: What activities will continue?

A: A limited number of the activities normally supported by the federal government are “excepted” from shutting down during a lapse in appropriations. These activities have to meet a very strict legal standard for protecting life and property in order to continue. A few of HUD’s programs will continue to operate as a result. For example, to ensure the safety of life, HUD homeless assistance grants, including supportive housing for veterans and housing for people with AIDS, will continue to be funded. For the protection of property, Ginnie Mae will continue to guarantee mortgage backed securities. A full list of HUD programs and their designations under a lapse in appropriations can be found on the HUD website as part of HUD’s contingency plan.

Q: Will I be able to find and apply for a HUD Funding Opportunity during the Federal Government shutdown?

A: The System will be open and operating during the federal government shutdown. The Contact Center also will remain available and provide assistance to callers during their normal operating hours of 24 hours a day, 7 days a week except Federal holidays. The Contact Center phone number is 800518-GRANTS. The Contact Center can also be reached by email at

Applicants should refer to the HUD Funding Opportunity Announcement posted on for specific application deadline dates and times. registration and system technical questions can be addressed by the Contact Center Help Desk. Program specific questions, or questions about HUD specific requirements, should be directed to HUD staff listed in the funding notice. Please be aware that due to the Federal government shutdown, some HUD staff may not be available to address your questions until the Federal government returns to normal operations.

Applications submitted to during the shutdown will be processed as usual by the system and stored for agency retrieval. For specific information on registration, application submission, and timely receipt requirements, please read the instructions found in the program specific funding announcement posted to

Agency systems may or may not retrieve the applications until after the Federal government returns to normal operations.

B. Office of Housing Office of Single Family Housing/FHA

FHA’s Resource Center and National Servicing Center’s (NSC) Call Center will be available to answer questions. If the questions need to be elevated to HUD staff, the questions may not be answered until the staff returns to work. The call centers will be provided with the contact information for the essential staff available during the government shutdown to handle health and safety issues.

Q: Will FHA endorse single family loans during a shutdown?

A: FHA will be able to endorse single family loans, with the exception of Home Equity Conversion Mortgages (HECM) and Title I loans, during the shutdown. A limited number of FHA staff will be available to endorse new loans. Due to limited staff, the time to endorse the cases may be extended.

Q: Will my FHA-insured loan still close?

A: The decision to close or not will be decided by each individual lender, so you should contact your lender.

Q: How will the reduction in FHA’s operations impact the housing market?

A: Because we are able to endorse most single family loans, we do not expect the impact on the housing market to be significant, as long as the shutdown is brief. With each day the shutdown continues, we can expect an increase in the impacts on potential homeowners. home sellers and the entire housing market. A protracted shutdown could see a decline in home sales, reversing the trend toward a strengthening market that we’ve been experiencing.

Q: What about homeowners with FHA-insured mortgages facing foreclosure?

A: Most loss mitigation for homeowners facing foreclosure (including FHA loan modifications, FHA-HAMP, etc.) will continue.

Q: Will FHA have staff available to answer questions if there is a government shutdown?

A: Limited FHA staff will be available to respond to questions, emails or other correspondence.

Q: Can I get an FHA case number?

A: Yes. Lenders will be able to obtain an FHA case number from the FHA Connection.

Q: Will FHA insure HECMs during the government shutdown?

A: No, FHA does not have the authority to insure additional HECMs during this period due to the statutory cap limiting the number of HECMs under the HECM Program.

Q: Will Title I loans be insured during the government shutdown?

A: No, FHA does not have the authority to insure Title I loans during this period.

Q: Can lenders with Lender Insurance (LI) approval continue to insure loans during the government shutdown?

A: Yes, as long as FHA does not run out of commitment authority. If FHA runs out of commitment authority, the lenders’ LI Approval will be temporarily suspended.

Q: Will the Credit Alert Interactive Voice Response System (CAIVRS) be available during a government shutdown?

A: Yes. CAIVRS will be available. However, FHA may not be able to ensure that the information contained in the system is up-to-date. Because the purpose behind the CAIVRS verification is to ensure that no borrower with delinquent, Federal, non-tax debt is given a new FHA-insured loan in accordance with the Debt Collection Improvement Act, lenders wishing to continue originating FHA insured loans during a shutdown should take reasonable steps to ensure compliance with the Debt Collection Improvement Act. The lender should carefully scrutinize any information in CAIVRS to confirm the continued validity of the information contained in the system. If CAIVRS is unavailable and lenders must move forward while government is shutdown, then FHA will accept the lender’s use of a current credit report to determine whether a borrower has any outstanding delinquent, Federal, non-tax debt. In such cases, a credit report that does not include evidence of a delinquent federal non-tax debt will be accepted by FHA as a substitute for the regularly required CAIVRS verification, provided that no other documentation in the loan file contains information that indicates the borrower is delinquent on a non-tax debt owed to the federal government. In the event that conflicting information is obtained, the lender may rely on the most recent information provided the lender takes reasonable steps to verify the credibility and source of the documentation.

Q: Will the FHA TOTAL Scorecard be available for lenders?

A: Yes. FHA TOTAL Scorecard will be available.

Q: Can a lender submit loans for approval if the lender is in preclosing?

A: No. FHA staff will not be available to underwrite and approve loans.

Q: Is FHA collecting the Upfront Mortgage Insurance Premiums (UFMIP) if a lender closes any loans during the government shutdown?

A: Yes. FHA will collect the UFMIP for any loans submitted for endorsement or endorsed by an LI lender.

Q: Is FHA collecting the monthly Mortgage Insurance Premiums (MIP)?

A: Yes. Lenders are required to submit monthly MIPs to FHA during a government shutdown.

Q: Can lenders submit packages for condo approvals?

A: FHA will not approve condo projects during a government shutdown and recommends that lenders hold their applications until after the shutdown.

Q: Can lenders file a claim and convey a property if there is a government shutdown?

A: Yes. Lenders can file a claim and convey a property. The properties will be assigned to an Asset Manager and listed for sale. Claims will be paid.

Q: Will FHA continue to pay partial claims to facilitate workout agreements to avoid additional foreclosures and increase in homelessness in my city, municipality or town?

A: Yes.

Q: Who handles safety issues with a HUD Home?

A: FHA has Field Service Managers (FSM) who are responsible for ensuring that properties are safely secured. If there is an issue that the FSM cannot handle, FHA will have some essential staff that will ensure that all the safety issues are addressed.

Q: Will HUD Homes be listed?

A: Yes. FHA’s Asset Managers (AM) will handle the sale of HUD Homes.

Q: Are lenders required to file monthly default reports to FHA?

A: Yes. FHA’s system for collecting the monthly default reporting will be available if there is a government shutdown.

Q: Can lenders submit applications for FHA approval?

A: FHA will not approve any lender applications during the government shutdown.

Q: Will FHA recertify a lender’s FHA approval?

A: No. FHA will not recertify any lenders during the government shutdown.

Q: Will lenders be able to submit audited financial statements to the LEAP?

A: Yes. LEAP will be available during a government shutdown. However, FHA will be unable to review or process any audited financial statements.

Q: Will borrowers receive Upfront Mortgage Insurance Premiums (UFMIP) refunds?

A: Yes. Borrowers will be able to receive unearned UFMIP refunds as long as they meet the streamline process.

Q: Will borrowers receive HECM payments from HUD during a government shutdown?

A: Yes. Borrowers will receive HECM payments.

Q: Will FHA monitor lenders during the government shutdown?

A: No. FHA will not perform any post technical endorsement or Quality Assurance Reviews during a government shutdown.

Keep reading the Government Shutdown FAQ on

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