ITIN loans, for buyers who file taxes without a Social Security number.

An ITIN loan is a mortgage for a borrower who files US taxes using an Individual Taxpayer Identification Number rather than a Social Security number. The ITIN is issued by the IRS specifically so that people who are required to file, but aren't eligible for a Social Security number, can do so. A great many people in the Houston area have filed and paid US taxes for years on an ITIN, established businesses and raised families here, and have simply never been told that home financing was available to them at all. It's, and this is the product.

What Lenders Look At Instead

Because the loan cannot be sold to Fannie Mae, Freddie Mac, FHA or VA, it's held by portfolio lenders who write their own rules - so the terms vary more than on any agency product, and the placement matters. What they look at in place of a conventional credit file is a consistent filing history, usually two years of returns on the ITIN, alongside proof of steady income and reserves. Thin or absent traditional credit is often supplemented with alternative tradelines: rent paid on time, utilities, insurance, phone accounts. Expect a larger deposit than an agency loan would ask, commonly 10% to 20%, and a rate above agency pricing. Those are real costs, and they're considerably better than the alternative of never being offered a mortgage at all.

If you would like to explore whether an ITIN loan matches your purchase price, credit profile and long-term budget, reach out to 3E Lending to speak with our licensed Texas mortgage team in Katy.