Foreign nationals, visa holders and ITIN borrowers: how US mortgages actually work for you

Your immigration status decides which loan programs are open to you; your documents, not your passport, decide whether you get approved and at what price.

“Foreign national” is a label lenders use for at least four very different people: a permanent resident with a green card, a software engineer on an H-1B visa, a restaurant owner who files taxes with an ITIN, and an investor in São Paulo or Dubai buying a Miami condo she will visit twice a year. Each faces a different menu of loans, a different down payment and a different set of documents. This page sorts them out.

Four borrowers, one label

Lawful permanent residents hold a green card (Form I-551). Under the Fannie Mae and Freddie Mac guides they are treated the same as US citizens: same programs, same pricing, same 3% to 5% minimum down payment on a primary residence. FHA and VA treat them the same way.

Non-permanent residents live and work in the US on a visa (H-1B, L-1, E-2, TN, O-1 and similar) or under an employment authorization document. Conventional loans remain open to them under the agency guides as long as the lender can document lawful presence and a reasonable expectation that income will continue. FHA is a different story: HUD removed non-permanent residents from FHA eligibility for case numbers assigned on or after May 25, 2025 (Mortgagee Letter 2025-09). That change also reached DACA recipients, who had become FHA-eligible in January 2021. Today a DACA buyer generally looks to conventional loans, where eligibility depends on the individual lender’s reading of the agency guides, or to portfolio lenders.

ITIN borrowers have no Social Security number and file taxes with an Individual Taxpayer Identification Number. Agency eligibility for ITIN-only borrowers is narrow and inconsistent between Fannie Mae and Freddie Mac, so in practice almost all ITIN mortgages are non-QM portfolio loans kept by credit unions, community banks and specialty lenders. Typical terms: 10% to 25% down, fixed or adjustable rates roughly one to three percentage points above agency pricing, two years of ITIN tax returns, and a primary-residence requirement.

Non-resident foreign nationals live abroad and buy a second home or a rental. No agency program exists for them. “Foreign national” loan programs are asset-based: 25% to 40% down, reserves of six to twelve months, a valid passport and visa (a B-1/B-2 visitor visa is usually enough), two or three credit reference letters from banks in the home country, and identity and sanctions screening under the Bank Secrecy Act and OFAC rules. Rates are higher and many of these loans, when the property is a rental, are business-purpose loans that sit outside most consumer protections.

How underwriting treats you

Income. US W-2 or self-employment income is documented exactly as for any borrower. Foreign-currency income may be accepted if it is stable, documented for two years and converted at a current rate; expect to pay for certified translations. Visa holders are asked about the expiration date and, in many shops, for evidence of a pending renewal or employer sponsorship when less than a year remains. The agency guides do not set a fixed minimum remaining validity, so the answer varies from lender to lender.

Assets. Funds held abroad must be traced: statements, source of the wire, and often a transfer to a US account before closing. Large recent deposits trigger questions for everyone; foreign wires add sanctions screening and sometimes a letter from the sending bank. Gift funds from relatives abroad are generally acceptable with a gift letter and a documented transfer.

Credit. Permanent residents and visa holders with a few years in the US usually have a normal credit file. Newer arrivals and ITIN borrowers often have a thin file or none. Agency automated underwriting can accept a borrower with no credit score using twelve months of rent plus one or two other payment histories; ITIN lenders typically build a nontraditional credit profile from rent, utilities, phone and insurance. Non-resident programs rely on foreign credit reports or bank reference letters instead of a FICO score.

Occupancy. This is where the four profiles split. Residents and ITIN borrowers are mostly financed as owner-occupants. A non-resident who will use the home for vacations is financed as a second-home buyer; one who will rent it is an investor, usually on a debt-service-coverage (DSCR) loan that qualifies on the property’s rent rather than the borrower’s income.

Typical pitfalls

Being routed to an expensive ITIN or “foreign national” product when your status actually qualifies you for a conventional loan — permanent residents and most work-visa holders should hear a conventional quote first.
Quotes from people abroad who are not licensed in the state where the property sits. Every US residential loan originator has an NMLS number you can look up.
Underestimating closing logistics: notarization abroad, apostilles, powers of attorney, wire cut-off times and currency conversion spreads that never appear on the Closing Disclosure.
Forgetting the tax layer: a foreign seller faces FIRPTA withholding (generally 15% of the price) on resale, and rental income from abroad requires a US tax filing.
Stale advice. The FHA rule changed in 2025 and visa overlays change yearly; confirm current policy with the lender and the HUD and Fannie Mae guides.

What to ask a lender

Which programs am I eligible for with my exact status, and why not conventional? What visa validity or renewal evidence do you require? Do you accept foreign-currency income and foreign assets, and with what seasoning? Will the loan be kept in your portfolio or sold, and who will service it? Is there a prepayment penalty, and is the loan consumer-purpose or business-purpose? Is the rate quote locked, and how are broker fees paid? Finally, ask for the NMLS ID of the person quoting you and check it on NMLS Consumer Access before sending a single document. If the answers are vague, the conventional loan pages and the pre-approval guide show what a clear one looks like.

What matters most

Permanent residents qualify for conventional, FHA and VA loans on the same terms as citizens; a green card alone never justifies a higher rate.
Work-visa holders (H-1B, L-1, E-2, TN, O-1) remain eligible for conventional loans if lawful presence and income continuity are documented; FHA closed to non-permanent residents for case numbers on or after May 25, 2025.
DACA recipients lost FHA access with that same 2025 change; conventional eligibility now depends on the individual lender.
ITIN loans are non-QM portfolio products: typically 10% to 25% down, rates one to three points above agency pricing, two years of ITIN tax returns, primary residence.
Non-resident foreign nationals borrow on asset-based programs with 25% to 40% down, foreign bank references, and BSA/OFAC identity and sanctions screening.
Under Regulation B a lender may weigh immigration status for creditworthiness, but may never decide on national origin; blanket refusals of all non-citizens are a red flag.
Verify every originator on NMLS Consumer Access; offshore “consultants” and notarios are not licensed to originate US mortgages.

Federal rules, read for foreign nationals and itin borrowers

Frequently asked questions

Can I get a mortgage with an ITIN and no Social Security number?

Yes, through lenders that offer ITIN loans as portfolio, non-QM products. Expect 10% to 25% down, two years of tax returns filed with the ITIN, proof of income, a nontraditional or thin credit profile built from rent and utilities, and a rate above agency pricing. The loan must still pass the federal ability-to-repay test, and the property is normally your primary residence.

Are H-1B visa holders still eligible for FHA loans?

Generally not anymore. HUD’s Mortgagee Letter 2025-09 limited FHA eligibility to US citizens, lawful permanent residents and citizens of the Freely Associated States for case numbers assigned on or after May 25, 2025. H-1B, L-1 and other non-permanent residents still qualify for conventional loans when the lender documents lawful presence and continuing income. Confirm current policy with HUD and your lender.

How much down payment does a non-resident foreign national need?

Typically 25% to 40% of the price, with six to twelve months of reserves. There is no agency program for non-residents, so each lender sets its own terms. Programs usually require a valid passport and visa, reference letters from foreign banks, documented source of funds, and sanctions screening. Loans on rental property are often business-purpose, which removes several consumer protections.

Can a lender deny me because I am not a US citizen?

A lender may consider immigration status and permanent residency when judging its ability to collect, under Regulation B section 1002.6(b)(7). It may not treat you differently because of national origin. Federal regulators said in 2023 that unnecessary blanket refusals of non-citizens can violate the Equal Credit Opportunity Act. Ask for the written denial reasons, which must be specific.