Illinois ITIN Mortgage Requirements: A Comprehensive Checklist


  • Eligibility checklist for credit, income, debt-to-income ratio, and down payment
  • ITIN loans required documentation like tax returns, pay stubs, and alternative credit options
  • Types of properties eligible for ITIN financing in Illinois
  • Common ITIN mortgage-related FAQs
Illinois ITIN mortgage loan eligibility requirements and documents checklit


Illinois ITIN mortgages provide a pathway to homeownership for immigrants without social security numbers in the Chicago area. But meeting the Illinois ITIN mortgage requirements for approval can be challenging if you are poorly prepared.

This comprehensive checklist breaks down the key eligibility criteria, documentation, and property standards for ITIN mortgage applicants in Chicago and Illinois.

Understanding these guidelines is the crucial first step to securing an Illinois ITIN loan.

Understanding Chicago ITIN Loans

Before diving into the specifics, let’s quickly cover the basics of ITIN mortgages in Chicago and Illinois:

  • What are ITIN Loans? ITIN loans allow non-citizens who file taxes with an Individual Taxpayer Identification Number (ITIN) to qualify for mortgage financing in Chicago and Illinois.
  • Key Benefits: ITIN loans provide flexible qualification guidelines for home loans without an SSN. They also help build credit history.
  • Limitations: As non-standard loans, Illinois ITIN mortgages have higher rates and stricter criteria than conventional lending programs.
  • Alternatives: Still, ITIN mortgage loans offer better terms than other options like hard money or private lending for borrowers without SSNs.

For an in-depth understanding of ITIN mortgages, including their benefits and limitations, consider exploring our guide on Navigating Illinois ITIN Loans: Benefits And Limitations.

Let’s now go over a detailed eligibility checklist for Illinois ITIN loans in Chicago.

Illinois ITIN Mortgage Requirements and Eligibility Criteria

Eligibility CategoryKey Points
Credit History– Minimum credit score: 680 or higher
– Alternative credit, like rental history, could be accepted
– Explanation needed for major derogatory events
Income Requirements– Two years of stable, verifiable income
– Self-employed: Two years of tax returns & P&L statements required
Debt-to-Income Ratios (DTI)– Maximum DTI: 50%
– Lower DTI improves approval odds
Asset Reserves and Down Payment– Minimum down payment: 15%
– Gift funds from relatives allowed
– Bank statements required to prove available cash
Eligible Property Types– Single family homes
– 2-3 unit residential properties
– Condominiums
– Townhouses
Summary of Illinois ITIN Mortgage Eligibility Criteria

Qualifying for an ITIN loan requires meeting Illinois ITIN mortgage loan guidelines across several categories:

Credit History

  • A minimum credit score of 680 or higher is typically required
  • Any major derogatory credit events must be explained
  • Alternative credit, like rental history, is considered for those without traditional credit

For borrowers that do have a credit history, lenders will look for at least a 680 credit score or more.

However, for borrowers who do not have an established US credit history yet, factors like on-time rent payments and bill payments could help to build an alternative credit history and demonstrate creditworthiness. This helps first-time borrowers or newly arrived immigrants qualify, even if they do not have established traditional credit.

Did you know?
Even without an SSN, there's a chance you've built a credit history if you've ever used your ITIN for obtaining credit before, like an auto loan or a credit card. 

Income Requirements

  • Two years of stable, verifiable income sources
  • Self-employed borrowers must provide business tax returns and profit and loss statements spanning two years.

Lenders want to see stable income sources over the past two years. Recent paystubs and W2 forms are the simplest way for W2 employees to verify this.

Self-employed borrowers, on the other hand, must present tax returns or equivalent documentation, such as 6 to 24 months of bank statements, 1099-MISC forms, or P&L statements.

Borrowers with a consistent income are more likely to be able to meet their future mortgage payments.

Did you know?
If you're self-employed and have numerous tax write-offs, alternative income verification methods such as 1099 forms or bank statements could improve your borrowing power. Consult a qualified mortgage professional for personalized guidance on structuring your ITIN mortgage application optimally.

Debt-to-Income Ratios

    • Maximum debt-to-income ratio of 50%
    • The lower your DTI ratio, the better your chances of approval. Keep debts low.

    The Debt-to-Income (DTI) ratio is a way to compare your total monthly debts, including your new mortgage payment, to your gross monthly income.

    To be eligible for an ITIN loan, you generally need a DTI of 50% or less.

    So, if, for example, you earn $5,000 a month and your total monthly debts (like mortgages, car loans, and credit cards) are $2,400, your DTI would be 48%. This would make you eligible for an ITIN mortgage based on DTI requirements.

    Asset Reserves and Down Payment

    • Minimum 15% down payment
    • Gift funds allowed from relatives
    • Bank statements showing funds required to prove available cash

    Lenders want to see seasoned funds in your account over several months to ensure the down payment cash isn’t borrowed.

    Any sudden large deposits may raise questions and result in the need to source the funds with documentation. You don’t want the lender to think you borrowed the down payment funds from someone!

    Eligible Property Types

    • Single-family homes
    • 2-3 unit residential properties
    • Condominiums
    • Townhouses

    Only certain residential properties qualify for Illinois ITIN loans. Commercial buildings, raw land, acreage, co-ops, and manufactured housing are ineligible. The property must be an existing structure, not a construction loan or vacant land.

    Sticking to common property types, like single-family homes, helps ensure a smooth approval process. More unique properties, like houseboats, often don’t conform to lender guidelines.

    Meeting these key Illinois ITIN mortgage requirements demonstrates you are ready for homeownership (or visit our Illinois ITIN Mortgage Loans: The Complete Guide for more information).

    Next stop: getting your required documents ready for ITIN mortgage pre-approval.

    ITIN Documentation Checklist

    To qualify, you must provide documentation across three categories:

    Income Verification Documents

    • Tax returns: 2 years minimum
    • Bank statements – 12 or 24 months
    • 1099 forms or accountant P&L for self-employed

    Credit History Documents

    • Traditional credit reports or alternative credit references
    • Rental payment history
    • Utility payment history

    Identification Documents

    • Unexpired ITIN documentation
    • Valid government-issued ID (Illinois State ID, drivers license, passport)

    Having these ITIN documents ready streamlines the Illinois ITIN mortgage application and pre-approval process.

    For a thorough, step-by-step explanation of the ITIN loan application process in Illinois, see our page, Your Illinois ITIN Loan Application Step-By-Step Guide.

    Getting Pre-Approved for an ITIN Mortgage

    This checklist summarizes the key steps to meet ITIN mortgage requirements in Chicago and Illinois. Our licensed mortgage advisors can guide you through the Illinois ITIN mortgage application process step-by-step and answer any questions or concerns you might have.

    Additionally, if you’re looking to buy a house in Chicago with an ITIN number, please be sure to check How To Buy A House In Chicago With An ITIN Number for more information.

    We specialize in helping ITIN borrowers buy homes in Chicago and Illinois. To get started, contact us today for a free consultation. Our team is ready to make your dreams of homeownership a reality!

    Frequently Asked Questions (FAQs)

    Written by:
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    Mariusz brings 20 years of mortgage expertise as a loan originator, underwriter, and ops manager in Chicago. His honest advice, backed by deep knowledge, has earned him features on CNN Underscored and A certified NMLS originator, he remains your approachable, neighborhood mortgage pro. Feel free to reach out with any questions. Mariusz is just a chat away.