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When I search this question on google all I get is that how it used to be possible for a person without a social security number to get a mortgage before but now the regulations became more stringent.

This is not what I am looking for.

This person has a valid US issued social security number but remained in the US past the allowed period and stayed here for 15+ years. So they are out of legal status and do not have employment authorization. Their I-94 form states D/S.

Otherwise, this person has been employed, paid taxes, paid off multiple car loans, possesses a number of credit cards and has built a ~790+ credit history.

My question is, can this person possibly get approved for a conventional non-FHA mortgage loan? Is a place on a mortgage application form where a person needs to specify their immigration status ?

  • Any real answers? I'm pretty much in the same boat. 12 years here, d/s on my i94, have had a legal DL w/o restrictions due to some loopholes in state policy, have a good SSN but card says "valid only w/ ins authorization". Have good credit history, coowner of a profitable business (U.S. citizen partner), have had loans and all financial instruments except a mortgage. Have citizen children, wife in same boat, thought of marrying for papers repelling( about 1 in 10 people I know have done it out of love, and know a lot of people that overstayed). Oh, I even tried the adjustment of status but was – user24573 Jan 9 '15 at 5:03
  • @CCR If you were to check "US Citizen" by mistake, you would become immediately deportable, and your future AOS/naturalization may be jeopardized. See 8 U.S. Code § 1227(a)(3)(D) – littleadv Jan 9 '15 at 17:17
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My question is, can this person possibly get approved for a conventional non-FHA mortgage loan?

Unlikely, however I don't have any definitive source for that.

Is a place on a mortgage application form where a person needs to specify their immigration status ?

There was, on all the mortgages I've taken. Being a foreigner myself I've always provided my visa/I-797/green card info to them.

The problem, from bank's perspective, is that since you're illegal - you may be easily deported. Thus there's no guarantee that you won't disappear tomorrow, even if you have no such intention yourself.

So even if you get approved - it will be much lower LTV (so that bank doesn't lose money if the property value goes down when you get deported), shorter terms and higher rates.

But as I said - even that is quite unlikely.

There's no legal prohibition, however.

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Any person - natural or artificial - can own property in the United States

Getting a lender to extend credit is a different story, but I am not aware of a legal prohibition on extending credit to someone that is not a legal immigrant. The institution that checks credit is rudimentary, it simply is comparing against a database of credit reports indexed by social security number. It isn't cross checking with immigration status.

That aside, if there WAS something on the credit application that required immigration status, do not lie about that, lieing on a mortgage application has legal consequences.

But again, money talks, whether an immigrant is here legally or not, being able to make the downpayment or having collateral is weighted much more heavier to a bank than immigration status.

Bank's internal policies are much more consequential than an actual law.

  • This may be true, but as littleadv's answer suggests, it seems unlikely in practice that you would be offered a mortgage, since there is the possibility of deportation, which would probably disrupt your income stream and your ability to pay the loan. – BrenBarn Nov 10 '14 at 19:27
  • @BrenBarn I'm sure there is a positive correlation between unable to maintain legal status and disrupted income stream, since this person wouldn't still be sponsored by a company. But that wouldn't be the complete picture and they may have liquid assets abroad (or domestically) – CQM Nov 11 '14 at 4:47
  • @CQM not in this case. A student overstaying the visa is unlikely to have any assets abroad, and of course doesn't have any company sponsoring (otherwise he wouldn't be illegal, would he). How I know he was a student? Because that's what D/S means. – littleadv Nov 11 '14 at 7:20
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Bank or a mortgage company WILL NOT GIVE you a loan unless you have a status of permanent resident, it doesn't matter if you have great credit score and make 50% DOWNPAYMENT, still in the end you will have to sign the paperwork where they ask about your status, and they will check it.

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