FHA loan to non-permanent resident aliens

[dfmahdy]

Hi, I am a first time home buyer and I am a non-resident alien resident. I have a J1 visa and have been in the USA for +7 years now. I wonder whether the FHA guidelness requires specific work permit or the work authorization issued by department of state to J1 visa holders are ok. I am confused because my husband has a J2 visa becuase he is dependent on my visa and he must get that work permit to work. Does this mean my husabnd can buy a home by FHA loan and I cannot? There isa serious "FLAW" in the FHA gudielness regarding non-permanent resident aliens and I hope someone hears me.

 

[HUD-1]

I hope this helps:

FHA insures mortgages made to non-permanent resident aliens provided that
the
· property will be the borrower’s principal residence
· borrower has a valid Social Security Number (SSN), and
· borrower is eligible to work in the United States, as evidenced by an
Employment Authorization Document (EAD) issued by the USCIS.
Note: The Social Security card cannot be used as evidence of work status.
Reference: For more information on the requirement to use the EAD as
evidence of work status, see HUD 4155.1 4.A.3.d.

4155.1 4.A.3.d
EAD Required as Evidence of Work Status
Although Social Security cards may indicate work status, such as “not valid
for work purposes,” an individual’s work status may change without the
change being reflected on the actual Social Security card. For this reason, the Social Security card must not be used as evidence of work status, and the EAD must be used instead.
If the EAD will expire within one year and a prior history of residency status
renewals exists, the lender may assume that continuation will be granted. If
there are no prior renewals, the lender must determine the likelihood of
renewal, based on information from the USCIS.
Note: Borrowers residing in the U.S. by virtue of refugee or asylee status
granted by the USCIS are automatically eligible to work in this country. An
EAD is not required.

 

[dfmahdy]

J1 visa are eligible for FHA

Thank you, I have read the underwriting guideliness for FHA before. I guess there is a confusion here. J1 visa holders (working as professors) do have an Employment Authorization Document (EAD) issued by USCIS. The EAD for J1 is a combination of (DS 2019+vaid passport+form I-94). This is stright from the USCIS website:


USCIS - Additional Documentation Requirements

I hope lenders check out this USCIS webpage before rejected loans to J1 holders under the assumption that they don't have EAD issued by USCIS.