It's that time of year, USDA's fiscal year 2019 ends September 30, 2019 and the new fiscal year 2020 begins on October 1, 2019. USDA – Fiscal Year 2020 Conditional Commitment Notice has been released advising Lenders that there will be a short period of time that USDA funding is not available. However, USDA will continue to issue Conditional Commitments subject to the funding and the Lenders may close USDA loans during this time but they assume all risks associated therewith. Once funding is approved and reinstated by the federal government, USDA will issue the Loan Note Guarantee per the conditions referenced in the bulletin. We advise our clients to contact their investors or USDA directly with any question related to loans that may close during this interim period.
Schwartz & Associates/DocsDirect will continue to prepare USDA closing packages as per usual without interruption. The Conditional Commitment "subject to funding" must be submitted with each USDA document request. If you have any questions related to the USDA closing package, please contact firstname.lastname@example.org.