If you’re living and working in the United States on a visa, you can still buy a home here. That surprises a lot of people. But the rules changed significantly in 2025, and if you’re anywhere near the Detroit-Windsor border, those changes matter more to you than almost anyone else in the country.

Here’s what non-permanent resident aliens need to know right now about getting a mortgage, which loan programs are available, and why Metro Detroit’s position on the Canadian border makes this a uniquely local issue.

First, What Is a “Non-Permanent Resident Alien”?

A non-permanent resident alien is someone who is legally living and working in the U.S. on a temporary basis typically under a work visa, but who does not hold a green card. Common examples include:

• H-1B (specialty occupation workers) a software engineer at an automotive supplier or a hospital-employed physician, for example.
• L-1 (intracompany transferees) a managerial transferee for a multi-national auto supplier, for example.
• TN (Canadian and Mexican professionals under USMCA) a Windsor based registered nurse hired by a Metro Detroit hospital, for example.
• O-1 (extraordinary ability) an athlete or entertainer with a documented record of success in their field, for example.
• DACA recipients with a valid Employment Authorization Document (EAD) brought to the US as children and authorized to live and work under this program.

This is a different category than a permanent resident alien (green card holder), who is treated essentially the same as a U.S. citizen for mortgage purposes. It’s also different from a foreign national who has no U.S. residency status at all those buyers need a different set of loan programs entirely, which I’ll touch on below.

The Loan Types Available to Non-Permanent Residents

Conventional Loans (Fannie Mae and Freddie Mac)

This is the primary path for most non-permanent resident borrowers today, and it’s a good one. Both Fannie Mae and Freddie Mac will purchase mortgages made to lawfully present non-permanent residents on the same terms available to U.S. citizens. That means the same rates, the same down payment options, and the same underwriting standards as long as the borrower meets the residency documentation requirements.

To qualify, you’ll generally need:

• A valid Social Security number
• A valid visa, and if you’re relying on your income to qualify, a valid Employment Authorization Document (EAD) or work authorization tied to that visa
• Two years of documented U.S. work history (or a reasonable explanation and documentation if you’re newer to the country)
• Most recent I-94 form
• The same credit, income, and asset documentation any borrower would provide

Neither Fannie Mae nor Freddie Mac publishes a rigid list of required documents. Instead, the guidance leaves it to the lender’s discretion to determine, based on the individual borrower’s circumstances, whether they’re legally present. That flexibility is helpful, but it also means working with a lender who understands how to evaluate visa and work authorization paperwork matters.

FHA Loans — A Major Change You Need to Know About

For years, FHA loans were one of the most popular options for non-permanent residents because of the low-down payment and flexible credit guidelines. That changed on May 25, 2025.

HUD’s Mortgagee Letter 2025-09 eliminated FHA loan eligibility for non-permanent resident borrowers entirely across every FHA program, including standard purchase loans, 203(k) renovation loans, and even streamline refinances for people who already had FHA loans. The only carve-out is for citizens of the Federated States of Micronesia, the Republic of the Marshall Islands, and the Republic of Palau, who are treated the same as U.S. citizens under a separate compact, yes AI helped with this paragraph.

If you’re on a work visa today, FHA financing is off the table. This pushed a large share of non-permanent resident buyers who might have gone the FHA route toward conventional financing instead, which is one of the reasons understanding Fannie Mae and Freddie Mac guidelines has become so important for this group.

VA Loans

Non-permanent resident alien veterans are not eligible for VA financing, with one exception: DACA recipients who otherwise meet VA service requirements retain eligibility.

USDA Loans

USDA Rural Development loans remain available to non-permanent residents in eligible rural areas, but only for specific EAD category codes. Not every visa or work authorization type qualifies, so this is worth checking case by case and it’s a program more relevant to buyers outside the core Metro Detroit market than within it.

Non-QM and Foreign National Programs

For borrowers who don’t yet have a Social Security number, don’t have enough U.S. credit history, or fall outside conventional guidelines, non-QM lenders offer specialized foreign national and ITIN loan programs. These typically come with higher rates and larger down payments, but they fill a real gap particularly for newer arrivals or investment property buyers who haven’t built a U.S. financial footprint yet.

Why This Matters More in Metro Detroit Than Almost Anywhere Else

Metro Detroit sits directly across the river from Windsor, Ontario, forming the busiest international border crossing in North America by trade volume. That geography creates a mortgage market unlike most of the country.

Thousands of Canadian professionals cross into Michigan for work every year on TN visas under the USMCA agreement. Engineers, healthcare workers, IT professionals, and skilled tradespeople sponsored by Metro Detroit employers all fall under this category. The Detroit-Windsor Tunnel and Ambassador Bridge, and now the Gordie Howe Bridge all process an enormous volume of these applications, and many of these workers eventually decide to relocate to the U.S. side rather than commute, especially once they’re established with a local employer.

That means a meaningful share of the home buyers a Realtor in this market will encounter are TN visa holders, H-1B professionals in the automotive and tech sectors, or other non-permanent residents not the exception, but a regular part of the local buyer pool. A few things make Metro Detroit specific:

• TN visa considerations. TN status is employer-specific and typically issued in one- to three-year increments. Lenders will want to see the visa, the employer letter, and evidence of a reasonable likelihood of renewal something a lender unfamiliar with TN status may not know how to evaluate efficiently.
• Cross-border income and credit history. Some Canadian buyers have strong Canadian credit and limited U.S. credit history when they first arrive. Building U.S. credit or working with a lender who can evaluate alternative credit documentation, becomes part of the pre-approval conversation.
• The FHA change hits this market disproportionately. Because a large share of Metro Detroit’s non-permanent resident buyers were historically first-time buyers who might have leaned on FHA’s lower down payment, the May 2025 FHA change pushes many of them toward conventional loans with slightly different down payment and reserve expectations.
• Employer relocation packages. Many cross-border professionals arrive with employer relocation assistance. Structuring financing around that, and around visa renewal timing relative to closing, is a Metro Detroit specialty as much as a general mortgage skill.

What Realtors and Buyers Should Take Away

For Realtors working with international clients in this market, the key message is simple: non-permanent resident status is not a barrier to buying a home, but it does require a lender who knows how to document it correctly and who understands the FHA change so buyers aren’t caught off guard mid-transaction. For buyers, the earlier you start the pre-approval conversation, the more time there is to gather visa documentation, address any credit history gaps, and structure the loan around your specific work authorization timeline.

If you’re a non-permanent resident alien considering a home purchase in Metro Detroit whether you crossed the bridge from Windsor last year or you’ve been working here on a visa for a while  the financing is available. It just takes a lender who knows this market and this borrower profile well.

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Marc Edelstein is a mortgage lender based in Metro Detroit with over 25 years of experience and a Certified Divorce Lending Professional (CDLP) credential, powered by Ross Mortgage Corporation. NMLS# 533706.