Bill Introduced That Would Require SSN For Real Estate Purchase

A Bill introduced by Rep. John Doolittle to Congress would require that mortgage providers obtain a Social Security Number (SSN)  from purchasers of a primary residence in the U.S before providing a residential mortgage.  The mortgage industry has developed programs that allow non-resident and immigrant purchasers to use a Individual Tax Identification Number (ITIN) instead of a SSN to purchase a home. This bill is obviously aimed at illegal immigrants.  While I will not comment on the protectionist action I will comment on the potential unintended effects of this Bill.  Areas of the South in the U.S. including Florida, Arizona, and California have large populations of Canadian home owners.  These "snowbirds" spend significant time in the U.S. and for some, they do not own a home in Canada.  Some rent and some live with relatives when they return to Canada.  These Canadians need to ensure that they are not spending more than the allowed time in the U.S. as visitors and effectively becoming "illegal immigrants."  However, assuming that they are following the rules, this Bill would require that they prove the home purchase in the U.S. is not their primary residence.  Much depends on how stringent the rules are related to this proposed Bill.  If to onerous it could significantly decrease the number of Canadians purchasing vacation properties in the U.S.  This is definitely one to watch.