ITIN loan vs. Conventional loan
For a borrower who files taxes with an ITIN, the fork is stark: conventional loans — the cheapest, most widely available financing — require a Social Security number, while ITIN loans exist specifically for borrowers who don't have one. This isn't a rate decision first; it's an eligibility decision.
If you have an SSN and work authorization, conventional is almost always the better path. If you only have an ITIN, a portfolio ITIN loan is how you buy now — often with a plan to refinance into conventional once you obtain an SSN.
Side by side
| Factor | ITIN loan | Conventional loan |
|---|---|---|
| SSN required | No — files taxes with an ITIN | Yes (valid SSN) |
| Offered by | Portfolio / community lenders | Fannie Mae / Freddie Mac lenders (widely available) |
| Down payment | 15–25% typical (some 10%) | As low as 3–5% |
| Credit | Non-traditional credit accepted | 620+ (best pricing 740+) |
| Rate | ~1–2% above conventional | Baseline (lowest) |
| Mortgage insurance | None (priced into rate) | PMI under 20% down |
Figures are representative ranges, not quotes, and vary by lender. Read the full guides: ITIN loan · Conventional loan.
Who should pick itin loan
Borrowers who file US taxes with an ITIN and have no Social Security number — including many visa holders and non-citizen residents — who need a path to ownership now.
Who should pick conventional loan
Borrowers with a valid SSN and two years of documentable income who want the lowest rate and smallest down payment; even many non-citizens with an SSN and work authorization qualify.
Bottom line
Still deciding? Take the 5-question loan quiz, compare every option on the loan types page, or size a purchase with the affordability calculator.
FAQ
No — conventional loans require a Social Security number. With only an ITIN, you'll use an ITIN mortgage from a portfolio lender. Once you obtain an SSN, conventional and FHA both open up and you can refinance into a lower rate.
It carries a rate premium (roughly 1–2%) and a larger down payment because lenders hold ITIN loans in portfolio rather than selling them. The trade-off buys access when you can't get conventional; many borrowers refinance to conventional later to capture the lower rate.
Educational information only — not financial advice, and not a quote, pre-approval, or offer of credit. Mortgage Merlin is a publisher, not a lender or broker.