FHA/HUD loans

[coloradocanuck]

My husband and I are here on J-1 (& J-2) visas. He accepted a job that was going to sponsor us to move to the H-visas and sponsor for green cards. We went to our bank loan center to get a loan to buy a house (in CO). We were denied because of the H visa application has not yet gone through. The bank is saying it is a FHA/HUD issue, that they don't give loans to J-visas. They said we would need to give 25% down payment. I feel it is discrimination against us.

Any advice or help would be appreciated in this matter. Thanks.

 

[Streamflow]

The bank is saying it is a FHA/HUD issue, that they don't give loans to J-visas. They said we would need to give 25% down payment. I feel it is discrimination against us.

Unfortunately this is true for J-1 holders. My friend bought a town home in Boulder CO several years ago while he was at J-1. As I recall he paid down payment more than 20 % (maybe 30 %). You may try to find another mortgage company. I bought a house 1.5 years ago when I was at O-1 status (similar to H-1B this is employment based “dual intend” visa). I paid 20 % down and a mortgage company also asks for an additional letter of support from my employer. My advice: change visa status to H-1B as soon as possible. I hope your husband is not a subject to INA 212(e) 2Y HRR. Good luck.

 

[LucyMO]

It's not discrimination, it's a calculated risk that the bank doesn't want to take. As long as you are on J-1, you are non-immigrant with a very temporary stay and an easily revokable privilege of working. Who is going to repay your loan if you suddenly lose your status? Sure, it may happen to H1b person, but their situation is a bit more stable and a dual intent+stable income apply.