Dec
05
Illegal immmigrants to the US have a lower mortgage default rate than US citizens?
By
Here’s a fascinating story from The Wall Street Journal: “Despite the downturn of the mortgage market, a type of home loan has remained surprisingly sturdy: one extended to illegal immigrants….For loans more than 90 days in arrears, ITIN mortgages have a delinquency rate of about 0.5%, according to independent estimates. That compares with 1% for prime mortgages and 9.3% for subprime mortgages extended to those with spotty credit histories.”
http://www.bloggingstocks.com/2007/10/09/illegal-immigrants-dont-default-on-mortgages/
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15 Comments
December 7th, 2009 at 6:32 pm
This is interesting, thank you.
December 7th, 2009 at 10:20 pm
They also have far fewer mortages.
December 10th, 2009 at 3:58 pm
That’s because a $2000 mortgage is easier to come up with when there are 25 people in one household.
December 13th, 2009 at 3:39 am
Easy to pay a mortgage with all that money you save not paying taxes, lol.
December 16th, 2009 at 1:45 pm
Illegal aliens can get mortgages?!?
December 18th, 2009 at 1:17 am
Given our population:
The mathematical probability is there.
So I’m not exactly sure what’s so surprising about this particular statistic?????
December 20th, 2009 at 8:52 pm
Maybe we can learn something from illegals…they seem to know how to balance a check book. The government is a poor example when it spends what it doesn’t have.
December 23rd, 2009 at 9:32 pm
How can you as an illegal immigrant even get a mortgage? How do they run your credit history???
I do not support bailouts for overextended homeowners…. that would require a massive tax increase and hammer those who DO keep their mortgages up. NO NO NO….
December 24th, 2009 at 2:53 am
That and a dollar will get you a cup of coffee in a real cheap restaurant! They are still illegals. It doesn’t matter if they are good with their credit.
December 25th, 2009 at 11:03 am
The elite want illegals in this country. Oh, the elite control the world of finance. makes perfect sense
December 28th, 2009 at 6:23 am
When 16 families live in one house default is less likely the zoning board needs to get busy and have them evicted.
December 31st, 2009 at 9:57 am
If I were sharing my home with 2 other families, and NOT getting taxed on my income, I could easily pay my $2500 per month mortgage. Let’s talk about the extra money we’re all spending for health care to cover the freebies the illegal immigrant enjoys, or the extra insurance we pay to cover the loss or damage caused by illegal immigrants who drive illegally…
January 3rd, 2010 at 9:07 pm
The ITIN program is offered by one mortgage company and is still driven by credit scores. The information you sited is nothing more than a paid review of one product from one mortgage company. They aren’t even a lender, just an origination company.
You don’t need to be American to buy a home in America and you don’t have to use MetroCities Mortgage or their ITIN program if your an immigrant.
EDIT: Becca, you obviously don’t live in the southwest. Most of your assertions are false. Government doesn’t lend mortgage money, illegals DO live in upscale areas and it’s not unusual to find 15 or more people living in a single-family dwelling!
Saying we’re responsible for illegals because we pay them to mow our lawns (besides being stereotypical and specious) is like saying guns are responsible for murders. SOMEBODY will cut our grass, just like some people WILL be murdered. The Nanny State mentality will destroy this country, and political correctness is just a plank in the platform!
January 7th, 2010 at 1:06 am
First our government should not be giving them loans. I guess they are all financed by Bank of America where you do not have to have a S.S. to open a checking account. If you are an American go to Bof A and try to get an acct. w/o one!!
Second they do live many families to one house. They do not live in areas were the deed restrictions are single family dwelling.
They are usually in the lower income areas and the houses are sub standard and the mortgage lenders would rather get something rather than nothing.
Third, If you mow 10 yards a day at $30. a wack and you have a 3 man crew you make pretty good money. Tax Free!!
The illegals ARE doing the jobs of Americans for lesser pay but now they are demanding more,
POLITICAL CORRECTNESS is going to bury the U.S.A.
January 7th, 2010 at 7:49 am
The fallacy here lies in the WSJ’s inability to track the percentage of illegal aliens who actually have mortgages, and their backgrounds.
You do understand that many illegal aliens are not sneakthroughs but people who have overstayed their visits after obtaining degrees on student visas? Many of these may be traced to insufficiencies in the US educational system.
I suspect (though cannot prove) that most illegal mortage holders fall into the class of computer scientists who are on the edge of legalization.
If you were an illiterate border-crossing farmworker, how do you think you would get a mortgage from anyone, even in the permissive climate of 2004?