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Trump Administration Ends FHA-Backed Mortgages for Non-Permanent Residents

The policy, effective May 25, 2025, bars DACA recipients and individuals with pending asylum claims from accessing federally backed home loans.

  • HUD has officially terminated access to FHA-backed mortgages for illegal migrants and non-permanent residents, including DACA recipients and those with pending asylum claims.
  • The policy, announced on March 26, 2025, reverses a 2021 Biden-era decision allowing DACA recipients to qualify for FHA loans.
  • HUD cited concerns about the financial stability of non-permanent residents and the burden on taxpayer-funded housing programs as key reasons for the change.
  • The policy aligns with a broader interagency effort with DHS to prevent illegal migrants from accessing taxpayer-subsidized housing programs.
  • The changes reflect the Trump administration's emphasis on prioritizing American citizens in federally funded housing initiatives and addressing the U.S. housing crisis.
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