Federal: Flood insurance program expires December 11, 2026 unless extended, which could delay flood-zone closings
The federal flood insurance program is authorized only until December 11, 2026. If authority lapses, new policies cannot be written, and the mandatory purchase requirement is enforced by lenders, so closings on flood-zone property in NJ, NY, CT and PA could be delayed. Policies in force continue to their expiration.
This is a federal funding deadline that applies to every mortgage secured by property in a Special Flood Hazard Area in New Jersey, New York, Connecticut and Pennsylvania, because the National Flood Insurance Program ("NFIP") is the main source of the flood insurance that federally regulated lenders must require. A Congressional Research Service Insight, IN10835, updated September 11, 2026, states that the program is currently authorized until December 11, 2026, under P.L. 119-103. A homebuilders' association report dated September 4, 2026 describes the date as the end of a short-term continuing resolution that funds federal programs at current levels through December 11.
42 U.S.C. §§ 4012a, 4016, 4026; P.L. 119-103; CRS Insight IN10835 (updated Sept. 11, 2026)