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Foreign National Loans in Los Angeles
Los Angeles draws foreign buyers from Asia, Europe, and Latin America looking for real estate investment and family relocation. Most of these buyers hit a wall with traditional lenders who require U.S. credit and permanent residency.
Foreign national loans fill that gap by underwriting based on global assets and international income documentation. We see strongest demand in Westside neighborhoods, downtown high-rises, and areas with established international communities.
You need a valid passport, visa documentation, and 30-40% down payment minimum. Some lenders go as low as 25% for strong borrowers, but 35% is standard for most deals we close.
Income verification comes through foreign bank statements, tax returns from your home country, or employer letters. Cash reserves matter more than payment history since you have no U.S. credit file to reference.
Portfolio lenders dominate this space because Fannie Mae and Freddie Mac don't buy foreign national loans. Each lender sets their own credit box, and terms vary significantly between them.
Some lenders work only with borrowers from specific countries due to documentation standards and legal frameworks. Others require U.S.-based bank accounts or restrict loan amounts based on citizenship. Shopping across multiple lenders is critical.
Chinese and Canadian buyers make up the largest share of foreign national deals in Los Angeles. Each group has different documentation challenges—Chinese buyers often face currency restrictions, while Canadians usually have cleaner income verification.
The appraisal matters more than with domestic loans because lenders price in exit risk if you default. Properties in established neighborhoods with strong rental demand get better terms than unique or luxury homes that are harder to liquidate.
ITIN loans work if you have U.S. tax history and live here on a visa. Foreign national loans are for buyers who live abroad and have no U.S. credit footprint.
DSCR loans can work for foreign buyers purchasing investment property, since those underwrite to rental income instead of personal income. Some lenders offer both programs and will structure whichever fits better.
Los Angeles County allows foreign ownership without restriction, unlike some states with agricultural land rules. Title companies here handle international transactions regularly and know how to navigate passport-based ID requirements.
Property taxes, insurance, and HOA rules don't change based on citizenship. The challenge is finding lenders comfortable with your documentation package and willing to underwrite income earned outside the U.S.
A few lenders go to 25% for strong profiles, but 30-35% is standard. Larger down payments unlock better rates and more lender options.
Most lenders require one for payments, though some allow international wire transfers. Opening a U.S. account before applying smooths the process significantly.
Rates typically run 0.75-2% higher than conventional programs. Your down payment, reserves, and property type drive final pricing. Rates vary by borrower profile and market conditions.
Westside, downtown condos, and areas with strong rental markets get the best terms. Unique luxury properties or rural areas face tighter underwriting.
Plan for 45-60 days. International document verification and translation add time compared to standard loans.
Mortgage financing for independent contractors and freelancers who earn 1099 income instead of traditional W-2 wages.
Mortgage programs that allow borrowers to qualify based on liquid assets rather than traditional employment income.
Non-QM loans that use 12 to 24 months of bank statements to verify income for self-employed borrowers.
Short-term financing that bridges the gap between buying a new property and selling an existing one.
Debt Service Coverage Ratio loans that qualify investors based on a rental property's income rather than personal income.
Asset-based short-term loans primarily used by real estate investors for property acquisition and renovation projects.
Mortgages that allow borrowers to pay only the interest for an initial period, resulting in lower monthly payments upfront.
Financing solutions tailored for real estate investors purchasing rental properties, fix-and-flip projects, or investment portfolios.
Home loans for borrowers who have an Individual Taxpayer Identification Number instead of a Social Security number.
Adjustable rate mortgages held in a lender's portfolio rather than sold on the secondary market, offering more flexible terms.
Non-QM mortgages that use a CPA-prepared profit and loss statement to verify income for self-employed borrowers.
Home loans with interest rates that adjust periodically based on market conditions after an initial fixed-rate period.
Specialized mortgage programs designed to support homeownership in underserved communities with flexible qualification criteria.
Mortgages that meet the guidelines and loan limits set by Fannie Mae and Freddie Mac for secondary market purchase.
Financing for building a new home or making major renovations, typically converting to a permanent mortgage upon completion.
Traditional mortgage financing not backed by a government agency, offering flexible terms and competitive rates for qualified borrowers.
Innovative loan products that leverage projected home equity growth to provide favorable financing terms.
Government-insured mortgages from the Federal Housing Administration with low down payments and flexible credit requirements.
A revolving line of credit secured by your home equity that allows you to borrow funds as needed during a draw period.
A fixed-rate second mortgage that provides a lump sum of cash by borrowing against the equity built in your home.
Mortgages that exceed the conforming loan limits set by the FHFA, designed for financing high-value luxury properties.
Loans for homeowners aged 62 and older that convert home equity into cash without requiring monthly mortgage payments.
Government-backed zero down payment mortgages for eligible rural and suburban homebuyers who meet income limits.
Government-guaranteed mortgages for eligible veterans, active-duty service members, and surviving spouses with zero down payment.