Eligibility Requirements for Foreign National Loans

Are you dreaming of owning property in the U.S. but not a citizen? No worries! Foreign national loans offer a way for non-U.S. citizens to invest in American real estate. These loans are specifically designed to accommodate the unique financial situations of foreign nationals. In this blog, we’ll cover exactly what foreign national borrowers need to qualify. Continue to learn more.

Valid Passport and Visa

You’ll need a valid passport and a visa allowing an extended stay in the U.S. This shows you have the legal right to stay in the country and can stay long enough to manage your property.

Proof of Income

Demonstrate a steady income by providing recent pay stubs, tax returns, or a detailed letter from your employer. This reassures lenders that you can handle monthly mortgage payments.

Bank Statements

Provide six to twelve months of bank statements to show financial stability. This helps prove you can cover down payments, closing costs, and ongoing expenses.

Credit History

If you don’t have a U.S. credit history, submit a credit report from your home country. A strong international credit history can help lenders assess your reliability.

Down Payment

Be prepared to make a larger down payment, typically 20-30% of the property’s price. This reduces the lender’s risk and shows your commitment to the purchase.

U.S. Bank Account

Having a U.S. bank account is essential for processing loan payments and other financial transactions related to the property purchase.

Property Use

Lenders usually stipulate that the property must be used as a second home or investment property, not as a primary residence.

Debt-to-Income Ratio

Like other mortgage types, foreign national loans require a favorable debt-to-income ratio. Lenders typically look for a ratio below 43%.

Employment Verification

If the applicant is employed by a U.S. company, employment verification will be required. A letter from the employer confirming the employment status and income is necessary if employed abroad.

References

Some lenders may require personal or professional references to verify the applicant’s character and financial reliability.

Secure Your Foreign National Mortgage Loan with Homespring Mortgage

Meeting these requirements can make the process smoother and increase the chances of securing a foreign national loan. At HomeSpring Mortgage, we’re here to guide you through each step, ensuring you have all the necessary documentation and support to achieve your property investment goals in the U.S.

For personalized assistance and to learn more about foreign national loans, contact HomeSpring Mortgage today. Let us help you turn your dream of owning property in the United States into a reality!