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Doolittle Amendment Ends Mortgages for Illegal Aliens

Doolittle Amendment Ends Mortgages for Illegal Aliens

 
WASHINGTON, DC - Tonight, Rep. John T. Doolittle will introduce legislation on the House Floor that would prevent financial lenders, such as Fannie Mae and Freddie Mac, from issuing mortgages to illegal aliens.  The House will be considering H.R. 1427, a bill designed to reform the regulation of housing-related government-sponsored enterprises (GSEs).  Doolittle plans to propose an amendment that would prohibit GSEs from offering residential mortgages to anyone without a valid Social Security number, thus preventing illegal aliens from getting loans.

"Government-sponsored lenders should not be in the business of assisting illegal immigrants to purchase homes in the United States," said Doolittle.  "Allowing illegal immigrants to purchase a primary residence here is just another incentive that encourages illegal immigration.  That needs to stop now." 

Currently, people who use Individual Taxpayer Identification Numbers, which are issued by the Internal Revenue Service (IRS), rather than Social Security numbers can qualify for home loans.  However, there is no way of ensuring whether they are legal residents.  Unlike the IRS, the Social Security Administration does verify legal residence status prior to issuing a number.  Therefore, a Social Security card would provide lenders the confidence of knowing that the people seeking mortgages have a legal right to be here. 

"This amendment would not affect U.S. citizens or legal U.S. residents because they too can receive a work-authorized Social Security number," stated Doolittle.  "The only people who have to worry about this change are the very people who broke federal law to enter or stay in the country in the first place." 

Doolittle's amendment would not discourage foreign investment in the United States.  When a person applies for a mortgage, he is asked whether the loan is for a primary residence, a secondary home or an investment property.  Under this legislation, only a person seeking to buy a primary residence would be required to have a legal Social Security number.  Should a foreign investor wish to obtain a mortgage for a real estate investment, he would be able to do so.   

U.S. Rep. John T. Doolittle has served in the House of Representatives since 1991.  The 4th Congressional District stretches from the eastern Sacramento Region to Lake Tahoe on the south and runs up the Sierra Nevada range to the high desert of Modoc County on the Oregon border in the north.  

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