Major banks are continuing to originate Fannie Mae and Freddie Mac loans through their retail networks. Their loan officers can close a loan without an IRS transcript. The loan officer just has to make sure the borrower has signed the IRS form 4506-T so it can be processed when the government shutdown comes to an end and the IRS starts processing the 4506-T forms gains.
But some of these large banks are not waiving the IRS transcript requirement for third-party originators.
Sources indicate that Wells Fargo will not accept loans without an IRS transcript from its correspondent lenders. Wells Fargo could not be reached for comment.