FHA to Permit DACA-Status Recipients to Apply for FHA-Insured Mortgages

“The term 'lawful residency' pre-dates DACA and thus did not anticipate a situation in which a borrower might not have entered the country legally, but nevertheless be considered lawfully present. To avoid confusion and provide needed clarity to HUD’s lending partners, FHA is waiving the above referenced FHA Handbook subsection in its entirety. In a subsequent update to the FHA Handbook the language will be removed.” --From a HUD announcement clarifying FHA loan eligibility for DACA participants.