The Department of Housing and Urban Development will continue toprocess single-family loans with limited staff during thegovernment shutdown, according to the most recent version of its2013 contingency plan.

“FHA will be able to endorse single family loans, with theexception of Home Equity Conversion Mortgages (HECM) and Title Iloans, during the shutdown,” said the agency's contingency plan, updated on Tuesday.

“A limited number of FHA staff will be available to endorse newloans. Due to limited staff, the time to endorse the cases may beextended,” the plan said.

An earlier version of HUD's plan was revised to reflect theirnew position.

“The HUD Contingency plan posted on Friday mistakenly includedincorrect information about a potential shutdown's impact on theFHA single-family loan program,” HUD said in a statement, accordingto news reports.

“FHA will be able to endorse single family loans during theshutdown. A limited number of FHA staff will be available tounderwrite and approve new loans.”

In the updated plan, HUD also said it does not anticipate abrief government shutdown having a major impact on the housing market.

“Because we are able to endorse most single-family loans, wedon't expect the impact on the housing market to be significant, aslong as the shutdown is brief. If the shutdown lasts and ourcommitment authority runs out, we do expect that potentialhomeowners will be impacted, as well as home sellers and the entirehousing market,” said HUD's plan.

However, HUD warned that home sales could be affected.

“We could also see a decline in home sales during an extendedshutdown period, reversing the trend toward a strengthening marketthat we've been experiencing,” said the plan.