Getting a Mortgage as an Immigrant to the US
Owning a home is a classic part of the American dream, but getting a mortgage as a new immigrant to the U.S. can involve unique challenges, since there may be some extra steps to qualify.
Key takeaways
- New immigrants can get a mortgage in the U.S., but loan options will depend on your specific residency status.
- Green-card holders will generally have an easier time getting a mortgage than non-permanent residents and foreign nationals.
- Lenders can’t discriminate based on your national origin, but they can ask about your immigration status.
4 steps to getting a mortgage as an immigrant
1. Provide proof of your residency status
When applying for a mortgage, most lenders will want to verify your residency status, since it can impact the loan options available to you.
Immigrants can generally qualify for a mortgage under one of the following statuses:
→ Permanent resident: Non-U.S. citizens who can legally live and work in the country permanently — usually by holding a “green card”
→ Non-permanent resident: Noncitizens who can live, work and study in the U.S. for a set period of time, depending on their visa
Even non-immigrants who are visiting the U.S. and don’t have residency status can, in some cases, qualify for a U.S. mortgage.
2. Explore home loan options
Depending on your immigrant status, you may have access to some or all the home loan types that a lifelong citizen would.
| Loan type | Eligible immigration status | General loan requirements |
|---|---|---|
| Conventional mortgage | Permanent residents and non-permanent residents |
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| Federal Housing Administration (FHA) | Permanent residents, non-permanent residents, Deferred Action for Childhood Arrivals (DACA) program recipients |
|
| U.S. Department of Veterans Affairs (VA) | Permanent residents |
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| U.S. Department of Agriculture (USDA) | Permanent residents, non-permanent residents, asylum seekers, refugees |
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| Non-qualifying mortgages | Permanent residents, non-permanent residents, foreign nationals |
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3. Gather your documents
Be prepared to show your income, assets, down payment source and credit history. You will also usually need to provide documentation of your residency status to mortgage lenders.
- Social Security number: Most government and conventional home loans require a valid Social Security number to qualify. Some lenders will also accept an Individual Taxpayer Identification Number (ITIN), but Social Security numbers are preferred.
- Permanent resident card or work authorization: Lenders will want to see proof of your current U.S. residency status— usually your permanent resident or “green” card, visa or employment authorization document.
- Down payment in U.S. dollars: Money for your down payment and closing costs must be in U.S. dollars from a U.S. bank account. If the money comes from a foreign account, you’ll need to show evidence of the exchange to U.S. dollars.
- Income in U.S. dollars: Be prepared to show lenders your proof of employment, along with your income history for at least the past two years, usually through W-2s or federal tax returns. For any payments or earnings you received in a different currency, you need to indicate what the amount would be in dollars.
- Credit history: Lenders will check your U.S. credit score and credit report from one or more of the three national credit bureaus: Experian, Equifax and TransUnion. If you have little or no U.S. credit history, your mortgage lender might accept credit references from a foreign country, or even a nontraditional credit history (such as proof of on-time rent and utility payments).
Don’t know your credit score? Get your free score on LendingTree Spring today.4. Compare mortgage lenders
Finally, shop around for your mortgage, comparing offers from different lenders. Comparison shopping for a home loan could save you $76,410 on average, according to a recent LendingTree study.
Be sure to consider these differences:
→ Interest rates. Compare interest rates to find the best deal. Also consider whether you want a fixed-rate mortgage (with the same interest rate for the entire loan term), or an adjustable-rate loan (where the rate can change).
→ Discount points. Some lenders offer discount points, which are one-time fees paid to the lender in exchange for a lower interest rate. Buying discount points can help reduce your monthly payments, but you’ll have to pay more money upfront.
→ Loan estimates. Loan estimates show various details about your loan, including the amount, interest rate, mortgage insurance, monthly payments and closing costs. Compare estimates from multiple lenders to find the right option for you.
Frequently asked questions
Yes, you can get a mortgage even if you don’t have a green card. Loan options for immigrants with an H-1B Visa or other non-permanent residency status include conventional loans, FHA loans and non-qualified mortgages.
No, you can’t get an FHA loan with an Individual Taxpayer Identification Number (ITIN). You will need a valid Social Security number instead.
To increase your mortgage approval odds, take one or more of the same steps that a non-immigrant would: Improving your credit score, saving for a larger down payment and boosting your income.
In theory, you can still qualify for a mortgage without a credit history in the U.S, but it might be more challenging. Some lenders do consider foreign credit reports when determining loan eligibility, which is good news if you have a strong credit history abroad.