What is an ITIN Loan?

Happy emigre family in their new home.

Not having a social security number (SSN) doesn’t have to prevent you from getting a home loan. If you have an individual taxpayer identification number (ITIN), there’s another option: an ITIN loan.

An ITIN is issued by the IRS to individuals who aren’t eligible for SSNs but are required to file federal tax returns. Immigrants, living and working legally in the U.S. who aren’t U.S. citizens, are among those who typically have ITINs.    

ITIN loans allow you to use an ITIN, along with other documentation, instead of a social security number when applying for a home loan. Here’s what you need to know about ITIN loans and how to apply for them. 

What are the Benefits of an ITIN Loan?

An ITIN loan is a mortgage program designed for non-U.S. citizens who have ITINs rather than SSNs. These loans aim to provide a path to home ownership for non-U.S. citizens, enabling them to build equity instead of renting – and establish roots in the United States. 

ITIN loans also enable borrowers to build their credit history by making regular mortgage payments. Having a strong credit history can be beneficial for future needs, such as applying for credit cards or other loans. 

Where to Apply for an ITIN Loan

Not all financial institutions or lenders offer ITIN loans, so you might have to do some research or shop around more than you would for a traditional mortgage loan. Did you know that TwinStar now offers ITIN loans? Visit our website for more details.

How to Qualify for an ITIN Loan

With traditional mortgage loans, lenders use SSNs to obtain applicants’ credit histories from the credit bureaus. In lieu of a social security number, a lender has to rely on other documentation including tax returns, bank statements, and utility bills. 

Here’s the basic criteria to be eligible for an ITIN loan:

  • A valid ITIN issued by the IRS
  • Proof of employment/income
  • A credit history
  • A down payment

The documentation and credit requirements for ITIN loans vary by lender. You should aim to have proof of at least two years of employment and two years of tax returns. 

Also, be prepared to make a higher down payment than a traditional mortgage – down payments for ITIN loans usually range from 10% to 20%. With that in mind, you may also need to show proof that you have a certain amount in cash reserves. 

Final Thoughts

The path to home ownership can be challenging to navigate, even more so without a social security number. If you have an ITIN instead of a SSN and want to buy a home, you should consider applying for an ITIN loan. They can provide the flexibility you need to buy a home – and establish roots that every family deserves. 

Interested in an ITIN loan? TwinStar is here to help you during your home ownership journey. Our ITIN mortgage program can provide you with all the resources you need to buy a home. For more information about TwinStar ITIN loans or to apply, visit our website or call 800.258.3115.