Texas Representative Brandon Gill has introduced legislation that would bar non-citizens from accessing government-backed mortgages, including loans insured by the Federal Housing Administration and those purchased or securitized by Fannie Mae and Freddie Mac. The Homeownership Eligibility Reform Act would codify and expand restrictions the Trump administration has already moved to implement through executive action.
“The sole purpose of our housing programs is to help Americans build wealth and achieve the American Dream. Illegal immigration is making that impossible,” Gill wrote on X.
The bill goes further than current policy. A March 2025 Department of Housing and Urban Development order barred non-permanent residents — including recipients of the Deferred Action for Childhood Arrivals program and immigrants with pending asylum claims — from FHA loans, while leaving lawful permanent residents, such as green card holders, eligible. Under Gill’s legislation, green card holders would also be excluded.
Gill said the underlying principle is straightforward. “There’s no reason that American taxpayers should be subsidizing home loans for non-citizens or for non-permanent residents,” he said. “This will fix that.”
The bill’s language requires that a mortgagor be a “citizen of the United States” to qualify for FHA-backed financing. Gill told Bloomberg Government he also seeks to prohibit all non-permanent immigrants from securing such loans and to block Fannie Mae and Freddie Mac from purchasing or securitizing mortgages made to noncitizen borrowers.
Home ownership, Gill said in an interview, has traditionally been the “pathway to the American dream,” adding that it is “becoming more and more unattainable.” He argues that government-backed programs — which offer lower down payments and less stringent borrowing criteria than conventional loans — should be reserved for citizens.
The legislation arrives as House members push to lock in immigration-related executive orders through statute, arguing that future administrations could otherwise reverse them. Gill predicted support from colleagues, framing the bill as part of a broader effort to “put the American people first.”
HUD did not immediately respond to a request for comment.
The proposal is expected to draw opposition. In May, three House members introduced the Housing Stability for Dreamers Act, which would clarify that DACA recipients remain eligible for mortgages backed by the FHA, the Department of Agriculture, and Veterans Affairs.
A separate Bloomberg News report published in June found that the administration’s broader immigration crackdown has already affected housing markets in technology-heavy communities that depend heavily on H-1B visa holders, with reduced immigration and tech hiring weakening demand in areas such as Dallas.
The bill has been referred to committee, where its prospects will depend in part on how broadly Congress is willing to extend existing administrative restrictions into permanent law.
