During the partial federal government shutdown, many homebuyers and sellers in Washington, D.C. had to hold off making moves in the local real estate market due to financial uncertainty.
Whether directly or indirectly, Redfin agent David Ehrenberg says that the majority of his buying clients were affected financially by the shutdown. “I have one client who planned to purchase his first home before the busy spring season, but he’s had to put off the mortgage pre-approval process because he was furloughed,” Ehrenberg said. “Another couple is looking to move from their rowhouse into a larger home to make room for their growing family, but both of them work for the federal government and only one of them has been receiving a paycheck. They’re concerned that under the circumstances, they won’t qualify for a home in the price range they know they can afford.”
Roughly 800,000 federal workers around the country were either furloughed or working without pay over the last month during the partial government shutdown, and although it has now temporarily opened until February 15, it remains unclear when employees will receive paychecks and whether the reopening will become permanent. About 18 percent of the unpaid workers (144,000) live in Washington, D.C., and a small share of them are actively looking to buy new homes—or at least, they were before the shutdown started on December 22, 2018.
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