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6 Borrowers Who Should Use Foreign National Loans

This article will describe six types of borrowers who can benefit from foreign national loans. It will also briefly discuss how to qualify for these loans. 

A “foreign national” is a loose definition used to describe anyone who is not a citizen of the country where they currently reside. In the U.S., this means anyone who is not a full citizen of our country.

People come to this land for countless reasons, coming from all corners of the globe. These people often need home loans, but are ineligible for federally-backed mortgages like an FHA loan or USDA loan.

For this reason, many use foreign national loans.

Should you consider this type of mortgage? Here are six of the most common types of borrowers who will use a foreign national loan.

6 Borrowers Who Should Use a Foreign National Loan

There are many types of borrowers who may consider using a foreign national loan. These are some of the most common categories of borrowers, although there will likely be overlap between the classifications. For example, many DACA recipients could also be considered non-permanent resident aliens. Likewise, an ITIN user could also be a non-permanent alien.

DACA Recipients

DACA, which stands for “Deferred Action for Childhood Arrivals,” was a program created by the Obama administration in 2012. Essentially, it allows certain individuals who were brought to the U.S. illegally as minors to receive a two-year period, which is renewable, when they cannot be deported while also being eligible for a work permit. Essentially, it defers any deportation action.

The status of DACA has been a back-and-forth between federal and state governments, administrations, and the court system. Its overall legality is still being debated, and a final judgement by the Supreme Court is likely.

Regardless of the future, DACA recipients are currently available for certain loans, including foreign national loans.

Lawful Permanent Resident

A lawful permanent resident, which is also known as a “green card holder,” is a non-citizen who is legally authorized to live permanently in the United States. They enjoy many of the benefits of full citizenship. For example they can work without restrictions, receive financial assistance for schooling, or join the Armed Forces and receive full military benefits.

There are a variety of reasons why someone could be granted the status of a lawful permanent resident. One of the main reasons is to reunify a family. However, economic and humanitarian immigrants could also qualify for this status.

Another benefit they enjoy is that they can own property in the United States. To own property, many will require a foreign national loan, although many other loan programs are available.

Non-permanent resident aliens are often in the U.S. for work purposes.

Non-Permanent Resident Alien

A non-permanent resident alien is anyone living in the United States without a green card but does have a Social Security number. In most cases, these people are in the United States for a certain period because of a temporary yet extended employment project. In this situation, employment within the U.S. could last years, even a decade.

These people often wish to purchase a home in the United States, even if their stay is temporary. Once their time in the U.S. is complete, they can sell the home and at least break even on their housing expenses. This may be better than renting the entire time, as the rent money is gone while ownership allows a recoup of at least some or all of the money, and may even bring a profit.

ITIN Users

ITIN stands for Individual Taxpayer Identification Number. This is a taxpaying number, similar to a Social Security number, that is issued to people who file taxes but are ineligible for a Social Security number. This number is issued to a variety of foreign nationals, including nonresidents and people with a temporary visa.


Regardless of where they come from, refugees are people who have fled areas of war, violence, and persecution. They often flee with little more than a few possessions, sometimes leaving with nothing but the clothes they are wearing. They leave behind possessions, careers, and loved ones.

Refugees can be permanent or non-permanent, although much depends on the situation in their home country. In many cases, they are unable to return because of their religion, race, heritage, or political opinions. If refugees are able to qualify, they may be able to use a foreign national loan and purchase a home in the United States.

Visa Holders

A citizen of a foreign country who wishes to enter the United States usually has to obtain a U.S. visa. This is placed on the person’s passport, which is issued by the traveler’s county of citizenship.

There are a few different types of visas available to people coming to the United States, including nonimmigrant and immigrant visas. A nonimmigrant visa is issued on a temporary basis, and can include workers in a variety of categories. Immigrant visas are for people who travel to the U.S. with the intention of living here.

Foreign National Loans: How to Qualify

Everyone’s situation will be different, so it’s impossible to lay out a universal process to qualify for a foreign national loan. However, there are some typical steps and issues you’ll need to understand.

First of all, you’ll need a U.S.-based credit score and a consistent, reliable income. If you have been working for a certain period, have built some savings, and paid on a few loans, you likely already meet this requirement.

These loans usually require unique documents. You’ll want to bring your passport, green card, and any other government-issued IDs you have available. You’ll need to show roughly two paystubs, although more could be requested by the lender.

The lender will likely also request information on your assets and liabilities to gain a stronger understanding of your financial situation.

These loans can be complicated, so the lender will likely request additional information related to your personal circumstance. Any court documents, immigration papers, and other details could be useful for your final application.

The Loan You Deserve is Waiting

If you want more information on foreign national loans, contact our team today. We are proud to serve U.S. residents of all types, and we’ll do everything we can to help you reach approval for a fantastic loan that fits your unique needs!