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Home » HUD clamps down on government-backed Mortgages for Illegal Immigrants

HUD clamps down on government-backed Mortgages for Illegal Immigrants

By Frank BojaziAugust 31, 2025Updated:September 1, 2025 News

The Department of Housing and Urban Development (HUD) released a statement saying illegal immigrants or non-permanent residents are no longer eligible for Federal Housing Administration (FHA) mortgages. This is being done to ensure priority of taxpayer-funded housing programs are used for Americans and to avoid giving them to illegal immigrants.

According to a report on National Review, the illegal immigrants were technically not eligible to receive the FHA loans, but loopholes might have made it possible. HUD plans to crack down on any loopholes and protect the FHA/government-backed housing programs/mortgages from being abused by non-citizens.

What seems to be changing?
– residency requirements will apply to DACA recipients and individuals who seek asylum or refugee status. Since they don’t technically have residency, then they may not be eligible for government housing programs at all. The fine details will determine that.

– the non-permanent resident category will be gone.

For full details, it’s important to review the HUD policies and/or handbooks, and pay attention to the HUD.gov website for latest updates.

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Frank Bojazi
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Kutztown University alumni who enjoys gaming, sports, building websites and optimizing ads for successful businesses. Other than that, just your typical northeast Philly guy! Go Birds!

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