Immigrants Are Benefiting from the American Dream, Mortgage Loans

Is mortgage financing or a low mortgage rate possible for immigrants? In the past, the answer would be simply, negative. However, as leading mortgage giants amend and modify the way they determine the approval process, immigrants are no longer limited to renting property.

For starter, immigrant families generally have a multitude of exceptional on-time payment practices for rents, telephone bills, utility bills (electricity and gas), medical insurance and so forth. Unfortunately, any of the above bill payments are not normally reported to the credit reporting bureaus (Equifax, Experian, and Trans Union). As a result, they are not taken into consideration by electronic underwriting systems.

But, for the immigrant hopeful of making their American dream complete, the nation’s largest mortgage lender, GMAC Mortgage Group is rewriting some of the rules of home financing. The nouveau mortgage program takes rent, utilities and other monthly bill payments into account when of an immigrant’s potentiality of repaying a mortgage. The mortgage alternative utilizes a year’s worth of prompt payments as sufficient evidence of creditworthiness. Moreover, the loan program also authorizes or approves up to 30 percent of a borrower’s loan qualification income to be contributed by other resident family members.

GMAC’s newest mortgage product requires only a minimum of $1,000 for the down payment. The mortgage is tailored to the living habits of immigrants. For instance, because so many immigrants send money to their native country to provide financial assistance to relatives, it is more challenging for immigrant families to save the cash for a down payment.

The new program features a maximum loan amount of $322,700. It is available for the legal residents with Social Security numbers, the permanent resident alien along with any United States citizen who qualifies for the loan. (Certain immigrants seeking home loan financing may not qualify for a low mortgage rate).

The loans offered by GMAC are offered by mortgage brokers across America. More importantly, immigrants can seek mortgaging solutions from other investors like Freddie Mac and Fannie Mae. Both are working on home loan programs to help immigrants with solid employment background and debt repayment history to acquire a new home. Despite a low mortgage rate, immigrants can enjoy the benefits of living the American dream.