Announcement 2021-009 - FHA – Borrower Eligibility for DACA Status Recipients

NewRez associates and clients, please note, effective for FHA applications and FHA Case Number assignments dated on or after January 19, 2021, as result of a 4000.1 Handbook waiver issued by FHA, individuals classified under the Deferred Action for Childhood Arrivals (DACA) program under the U.S. Citizenship & Immigration Service (USCIS) are eligible for FHA mortgages.

 

The following FHA 4000.1 requirements for Non-US citizens still apply to DACA status recipients who are borrowers on FHA mortgages:

 

  • The property will be the borrower’s primary residence, and
  • The borrower has a valid Social Security Number (SSN), and
  • The borrower is eligible to work in the U.S., as evidenced by the I-766 Employment and Authorization Document (EAD) issued by the USCIS (Category Code “33” on EAD), and
  • The borrower meets the same requirements, terms, and conditions as those for U.S. Citizens.

 

Borrowers with an EAD that has an expiration date within one (1) year from the application date and with a prior history of USCIS residency status renewal, may be assumed that continuation of their residency status will be granted. If there are no prior renewals, the underwriter must determine the likelihood of renewal based on information from USCIS.

 

Please refer to the Newrez Underwriting Guide and Product Profiles for details.

Resource Links

FHA INFO #21-04

USCIS Employment Authorization Document Codes