Non-QM Loans for Foreign Nationals Buying Property in California
International buyers have long been drawn to California real estate — and Non-QM lending has a specific category built just for them. Foreign national loan programs allow non-U.S. residents to finance investment properties in the United States, even without a U.S. credit score or Social Security number.
Who Is a Foreign National Borrower?
A foreign national is a non-resident alien who is not authorized to live or work in the U.S., or who holds a visa indicating a more temporary residency status. To be eligible, the borrower must live and work in another country and be a legal resident of that country. U.S. citizens and permanent resident aliens are not eligible for foreign national programs — they use standard Non-QM or conventional programs.
What Properties Can Be Financed?
Foreign national programs are restricted to investment properties only. The borrower — or any family member — cannot occupy the subject property as a primary residence. Property types typically include single-family residences, PUDs, townhomes, condominiums, and 2–4 unit properties.
Income and Credit Documentation
A U.S. credit report and FICO score are not required on most foreign national programs. The loan qualification is typically based on the DSCR — the property’s rental income relative to its payment. For borrowers who do have a U.S. FICO score or ITIN, additional program options and potentially better terms may be available. Minimum FICO of 680 is common when U.S. credit is used.
Loan Parameters
| Feature | Typical Range |
|---|---|
| Minimum Loan Amount | $100,000 |
| Maximum Loan Amount | $1.5M–$3.0M depending on program |
| Maximum LTV (Purchase) | Up to 75% (DSCR ≥ 1.00) |
| Products Available | 30-Year Fixed, 5/6 ARM, 7/6 ARM, 10/6 ARM — IO available |
| DSCR Minimum | 1.00 (foreign national DSCR programs) |
| Prepayment Penalty | Available where permitted by law |
Using Foreign Assets
Down payment and reserve funds do not need to come from a U.S. bank account — foreign assets are permitted. Funds must be verified in U.S. dollar equivalency, and must either be transferred to a U.S. account prior to closing (typically 10 days before) or wired directly to the closing agent. Gift funds may be permitted after a minimum borrower contribution (typically 10% of the purchase price).
Country Restrictions
Borrowers from OFAC-sanctioned countries are not eligible. Additionally, some programs restrict Chinese nationals from purchasing property in Texas and Florida specifically. Borrowers with diplomatic immunity are also ineligible regardless of country.
Key Takeaways
- Foreign nationals can purchase U.S. investment property through Non-QM programs
- No U.S. credit score or SSN required on most programs — DSCR qualifies the loan
- Restricted to investment properties only — no primary residence occupancy
- Foreign assets accepted for down payment and reserves after currency conversion
- Loan amounts up to $3M; 30-year fixed, ARMs, and IO products available
Serving borrowers throughout California — Orange County, Los Angeles County, Riverside County, San Bernardino County, San Diego County, and the greater Southern California region including Santa Ana, Irvine, Anaheim, Huntington Beach, Fullerton, Garden Grove, and surrounding communities.