The longest federal government shutdown in U.S. history has officially ended, and critical housing programs are now set to resume. This is welcome news for homebuyers, homeowners, and real estate professionals nationwide who experienced delays in loans and insurance during the shutdown.

Impact on Homebuyers and Real Estate Transactions

During the shutdown, programs such as FHA, VA, and USDA loans were stalled, and new flood insurance policies under the National Flood Insurance Program (NFIP) were temporarily halted. According to Shannon McGahn, Chief Advocacy Officer and Executive Vice President of the National Association of Realtors (NAR):

“This agreement brings programs critical to housing back online and is welcome news for Americans whose home purchases and insurance renewals have been delayed or derailed over the past several weeks… creating real economic harm that rippled through local economies each day the shutdown continued.”

As programs restart, lenders and buyers may face a six-week backlog while agencies catch up on delayed applications.

Key Programs and Funding Restored

The legislation approved by Congress provides:

  • Funding for federal housing programs, including FHA, VA, and USDA loans

  • Extension of NFIP insurance-writing authority through January 30, 2026

  • Full fiscal year funding through September 30, 2026 for agriculture, military construction, and legislative agencies, which cover USDA and VA loan programs

Congress now has until January to pass additional appropriations covering the remainder of the federal government.

What This Means for Homebuyers and Sellers

With federal housing programs back online, homebuyers can resume stalled transactions, renew flood insurance policies, and move forward with financing options through government-backed programs. For sellers and real estate professionals, this means fewer delays in closings and more predictable timelines for buyers relying on federal loans.

For anyone looking to purchase a home using FHA, VA, or USDA programs, now is a critical time to work with a trusted real estate agent and mortgage professional to navigate the backlog and ensure a smooth closing process.

Source: National Association of Realtors, November 12, 2025