Not every borrower has a Social Security Number—and in many cases, they don’t need one to qualify for a mortgage. ITIN loans allow borrowers who file taxes with an Individual Taxpayer Identification Number (ITIN) to access home financing, often opening the door for foreign nationals, immigrants, and non-resident investors. These loans are a type of non-QM mortgage and present a valuable opportunity for loan officers to serve a growing market.
What is an ITIN loan?
An ITIN loan is a mortgage designed for borrowers who do not have a Social Security Number but file taxes using an ITIN issued by the IRS. These borrowers can include:
- Foreign nationals living and working in the U.S.
- Non-citizen residents without lawful permanent residency
- Undocumented immigrants with a consistent U.S. income stream
- International investors buying property in the U.S.
These loans are especially useful for communities that have been historically underserved by conventional lending.
Who are ITIN loans for?
ITIN loans are commonly used by:
- Self-employed borrowers filing taxes with an ITIN
- W-2 wage earners without a Social Security Number
- Individuals on visas or without permanent residency
- Foreign buyers investing in residential U.S. real estate
Even borrowers with strong income and assets can be denied by traditional lenders due to lack of an SSN. ITIN loans provide a much-needed path to homeownership for this audience.
How do ITIN loans work?
While these loans don’t require a Social Security Number, they still involve rigorous underwriting. Most lenders require:
- A valid, current ITIN
- Two years of verifiable income (W-2s, 1099s, or bank statements)
- Acceptable credit history or alternative credit (e.g., rental, utility, phone bills)
- Minimum down payments of 15–25%
- Reserves to cover several months of mortgage payments
Unlike conventional loans, the underwriting and processing for ITIN loans tends to be more manual. Since the documentation may include non-standard income sources or alternative credit histories, processors and underwriters often need to verify data manually and may request additional documentation. For example, income must sometimes be backed by translated tax returns or notarized letters from employers. This adds complexity and makes it essential to have a support team familiar with non-QM and ITIN guidelines.
Processing timelines can vary widely. While conventional loans might follow a streamlined DU/LP-driven workflow, ITIN files often involve back-and-forth with underwriters to clarify and verify information. At Morty, our Processing & Fulfillment team is trained to handle these nuances and move loans forward efficiently—even under more manual conditions.
As for where these loans are available, ITIN mortgages are typically offered through wholesale channels, meaning they are more accessible to brokers than retail lenders. Most traditional lenders do not offer ITIN loans directly to consumers. Brokers who work with a range of wholesale lenders have a strategic advantage in serving this market, particularly when partnered with a platform like Morty that simplifies the process and provides lender access.
Borrower Scenario: The International Business Owner
Consider Luis, a restaurant owner in Houston who has lived in the U.S. for over 10 years. He files taxes with an ITIN, has strong monthly revenue, and wants to buy a home for his family.
Matched with: ITIN Loan
Why it’s a good fit: Luis has verifiable income through bank deposits and tax returns, solid reserves, and consistent residency—all of which satisfy non-QM lender requirements even without a Social Security Number.
Borrower Scenario: The International Investor
Priya lives in Dubai but frequently travels to the U.S. for work. She wants to purchase a condo in Miami as a long-term investment. She files U.S. tax returns using an ITIN and has significant cash reserves in a U.S.-based account.
Matched with: ITIN Loan
Why it’s a good fit: Priya has verifiable U.S. income through her consulting work, maintains a valid ITIN, and can provide proof of reserves and rental intent—making her a strong candidate for a non-QM investment loan.
Challenges and what to watch for
ITIN loans come with unique challenges:
- Credit history may be limited or alternative
- Documents may need to be translated or verified
- Bank statements from foreign institutions may not be accepted
- Income may be variable or self-reported
It’s important for brokers to educate borrowers early and gather all documentation upfront. Our Processing & Fulfillment team is equipped to guide you through these steps.
FAQs
Can ITIN borrowers use bank statements as income?
Yes, many ITIN loans accept bank statement income, especially for self-employed applicants.
What if the borrower has no credit history?
Alternative credit is often accepted. Lenders may use rental history, phone bills, and other documentation to assess payment behavior.
How long does it take to close an ITIN loan?
With the right documentation, Morty has helped brokers close ITIN loans in as little as 2–3 weeks.
Does the borrower need to be a U.S. resident?
No, but they must have verifiable U.S. income and meet all other lending criteria.
Can ITIN loans be used for investment properties?
Yes. Many foreign nationals use ITIN loans to purchase investment properties, especially in markets with strong rental demand. The borrower must show intent to rent and ability to repay.
What kind of down payment is typically required?
ITIN loans often require 15–25% down. Some investment scenarios may ask for 30%+ depending on the risk profile and property type.
Can ITIN borrowers refinance?
Yes, ITIN borrowers can refinance, though their options may be limited compared to conventional borrowers. Non-QM lenders typically support cash-out and rate/term refinances with updated documentation.
How to Offer ITIN Loans Through Morty
Morty’s platform simplifies the process of offering ITIN loans. Here’s how we support brokers:
- Access to a wide Lender Network that includes ITIN-friendly wholesale lenders
- Point-of-Sale tools that enable a seamless borrower experience—even for those without an SSN
- Processing & Fulfillment support to help manage non-standard documentation workflows
- Rosey AI for real-time guidance on lender overlays and requirements
Looking to offer ITIN loans through Morty? Talk to our team and see how we can help you support this growing borrower segment.
