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An undocumented immigrant can legally buy a home in the United States. There is no federal law that requires U.S. citizenship or permanent residency to purchase real estate.
Common ways it happens:
Cash Purchase
The simplest route.
The buyer uses savings, proceeds from a business, family funds, or other assets to buy the property outright.
The title company generally verifies identity but not immigration status.
ITIN Mortgage
Many lenders offer mortgages using an Individual Taxpayer Identification Number (ITIN) instead of a Social Security number.
Borrowers typically need:
An ITIN
Tax returns (often 2 years)
Proof of income and employment
Bank statements
Down payment (often 10–25% or more)
Interest rates may be slightly higher requirements.
For example, states such as California, New York, Illinois, and others issue driver’s licenses to certain residents regardless of immigration status. Those licenses can generally be used as government-issued ID in a real estate transaction, subject to the lender’s and title company’s policies.