CNN Quotes NAR Chief Economist on Economic Drag of Shutdown
January 17, 2019
When CNN was documenting the effect the month-long government shutdown is having on federal government employees and businesses, reporter Lydia DePillis turned to the National Association of REALTORS® for comment on the impact on home sales.
It’s not so much an issue of missed mortgage payments, NAR Chief Economist Lawrence Yun told CNN. He says lenders will show forbearance, knowing that federal workers will receive back pay once the federal government reopens. Yun’s bigger concern, he told CNN, is on the erosion of consumer confidence caused by the “perception that there’s chaos in Washington.”
CNN cited an NAR survey, conducted last week, showing that 25 percent of REALTORS® reported some kind of effect from the shutdown—for example, people dissuaded or delayed from buying homes.
NAR has been communicating with the Trump administration to mitigate lending delays (see related story on the Rural Housing Loan Program).
CNN’s report says, because of its duration, this year’s shutdown is having a greater economic impact than the 21 other shutdowns that have occurred since 1976.
Updated: August 22, 2019