🏡 U.S. Home Mortgage Programs

for E2, H1B and L1 Visa Holders

 

 

 

 

 

 

E-2, H1B or L-1 visa holders who are legally residing in the United States can also utilize various loan programs when purchasing a home in the U.S.

 

The programs below can be used not only for home purchases, but also for E-2, H1B and L-1 visa holders to refinance an existing loan to take cash out or to lower the interest rate or monthly payment.

 

There are numerous lenders in the U.S., and each lender may have slightly different requirements. The following are general guidelines, and the most suitable program may vary depending on each individual’s situation.

 

We provide free consultations to guide you toward the most appropriate loan program for your situation. We will assist you with care from start to finish.

 

 

I. QM / Conventional & Conforming Loan Programs

 

 

Advantages:

• • • • • Lowest interest rates

        • Flexible down payment options: 5% – 20%

        • Standard products such as 30-year fixed loans

 

Basic Requirements:

• • • • • Proof of Legal Status:   Visa, I-94, SSN, or ITIN required to verify legal residency
        • Income:   2 years of employment or income history required
          (If employed by the same company in other country and the U.S., less than 2 years of U.S. employment may be acceptable)
        • Credit:   U.S. credit score of 680 or higher recommended
        • DTI (Debt-to-Income Ratio):  Typically 46% – 50% or lower required. Monthly debts include: Mortgage, Property tax, Insurance, HOA, Car loans and other fixed monthly debts.  Total monthly debt must be less than 50% of gross monthly income
        • Down Payment:  Minimum 5%
        • LTV (Loan-to-Value):  95% – 80% depending on qualification.  Up to 95% financing possible with strong DTI
        • PMI required if LTV exceeds 80%
        • Proof of Assets:  Most recent 2 months bank statements. Verification of down payment funds.  Large deposits within 2 months require source documentation.  Prepare funds in advance to avoid delays

 

Recommended For:

• • • • • QM loans are beneficial for W-2 employees and borrowers with high reported taxable income
        • For E-2 self-employed borrowers, taxable income may appear low due to deductions, making QM approval difficult. In such cases, Non-QM loans may be a better option.
        • Also suitable for:  L-1 visa holders transferred from oversees companies
        • Since the U.S. housing market generally trends upward, it is often recommended to obtain financing based on current eligibility and later refinance into better terms.
        • Through a free consultation, you can assess your current situation, understand what to prepare, and obtain a pre-approval before starting your home search.

 

 

 

 

II. Non-QM Loan Programs

 

QM loans must follow standard underwriting guidelines set by Fannie Mae and Freddie Mac.  If a borrower does not meet these requirements, Non-QM loans are available.

• Minimum 10% down payment

• Slightly higher interest rates than QM loans

• More flexible underwriting for various borrower situations

 

 

1. WVOE (Written Verification of Employment)

 

• • • • • Income is verified through an employment and salary verification letter provided by the employer.
        • Recent job change in the U.S.
        • Short U.S. work history or limited tax records
        • Minimum 10% down payment
        • Other qualifications similar to QM loans
        • Reserve:  Some lenders may require 3–6 months of housing expenses after closing

 

 

 

2. Bank Statement Loan or CPA-Prepared P&L / Balance Sheet

• • • • • E-2 self-employed borrowers and 1099 freelancers

        • Borrowers with high business deposits but low taxable income

        • Income Calculations:  Typically, about 50% of average monthly deposits is considered income

        • Income Documentation:

• • • • • • • • • • 12–24 months business bank statements, or
                  • CPA-prepared Profit & Loss statement, and Balance Sheet

• • • • • Down Payment:

• • • • • • • • • • Bank Statement: 10% – 20%

                  • CPA P&L: 15% – 25%

        • Proof of Legal Status:  Visa, I-94, SSN or ITIN
        • DTI:  43% – 50%
        • LTV: Up to 90%
        • PMI required above 80%
        • Proof of Assets:

• • • • • • • • • • 2 months bank statements

                  • Large deposits require sourcing

        • Reserve: Typically 3–9 months

 

 

 

 

3. Jumbo Loan

QM loans have loan limits based on county guidelines.  If the loan amount exceeds this limit, a Jumbo Loan is required.

• • • • • • Stricter underwriting than QM

          • Higher credit requirements

          • More reserves

          • Higher down payment

          • More conservative review of assets and visa status

 

 

 

4. DSCR Loan (Investment Property Loan)

• • • • • • Designed for investment properties.
          • Approval is based on whether the rental income covers the mortgage payment, rather than personal income.
          • No personal income verification required
          • Investment property only

          • Rental income must cover debt obligations

          • Down Payment: 15% – 30%

          • Credit Score: 660 – 680+

          • Reserve: 3–9 months

          • Not allowed for primary residence

          • No limit on number of properties owned

          • Short-term rentals (Airbnb) may be allowed

 

 

 

5. Foreign National Mortgage

• • • • • • A Non-QM program for non-U.S. residents or borrowers without SSN purchasing U.S. real estate.
          • Family members or parents residing in other country
          • Foreign investors purchasing U.S. property
          • No U.S. income required
          • No U.S. credit required
          • Foreign assets accepted
          • Down Payment: 25% – 40%

 

 

 

 

 

 

Terry Kwon

Contact: (631) 624-4480

Email: terry@milestonepointinc.com

 

Funding Director at Milestone Point, Inc.

Licensed Mortgage Originator at Loan Factory

NMLS #2620208

Loan Factory NMLS #320841