In the latest development, the DACA recipients have been deemed eligible for the same loan terms and conditions as any other American citizen. After the change in the presidential administration, this significant change was made in the home loans policy for people under the Deferred Action for Childhood Arrivals Program.
However, even then many DACA recipients are denied loans by conventional financial institutions and banks. However, that does not mean that one cannot buy a house. You just have to move to a different lender that provides DACA mortgage loans in Houston.
As per the latest amendment in the old policy, US immigrants under the DACA program would be able to apply for FHA loans.
Eligibility for DACA Mortgage under FHA
You can apply for a DACA mortgage loan, only if you are eligible under the following criteria:
- You need to have a minimum credit score of 580. However, some lenders might agree to give you a loan with a lower credit score, you would have to negotiate the interest rates in that case.
- You should be able to make a minimum down payment of 3.5%.
- The loan should be against your primary residence, and not a vacation house or investment property.
- You must have a valid SSN (Social Security Number).
- Being the borrower you must have the eligibility to work in America.
- You should be able to provide an EAD or Employment Authorization Document to the lender.
- Your EAD must be valid and issued by the US Citizenship and Immigration Services or USCIS under the C33 category.
- If you have an expired EAD card then you have to present the same to the lender.
Other than FHA home loans there are provisions for the DACA recipients, which enable them to apply for USDA loans and even private home loans.
When you apply for the DACA mortgage, the lender would assess your eligibility for the loan as per the following:
- Credit score
- Credit history
- Monthly income
- Employment status
- Job history
The benchmark of approval depends on multiple factors and the individual take of the lender. You need a lender with a stellar market reputation for offering flexible loan terms so that you are able to access the best DACA mortgage loans in Houston to buy your dream house.