To purchase a home as a non-resident alien (NRA) with Social Security benefits, first secure a mortgage by providing a large down payment (typically 30-35%) or securing a co-borrower with a U.S. credit history. Opt for conventional or FHA loans, as VA loans require military service. Choose a property, obtain title insurance, and budget for closing costs (2-5% of the loan). Consult a tax professional to address federal and state tax obligations, including potential taxation of Social Security benefits.

Non-resident aliens face higher mortgage hurdles due to stricter underwriting and down payment requirements. For example, conventional loans often demand 20-35% down without a co-borrower, compared to 3.5% for U.S. citizens with FHA loans. The Federal Housing Administration (FHA) reports that 30% of non-residents use co-borrowers to qualify, as noted by the Consumer Financial Protection Bureau (CFPB). Closing costs average $5,000-$10,000 for a $300,000 home, per the National Association of Realtors (NAR). Social Security benefits may be taxable if the NRA meets U.S. residency thresholds, as outlined in IRS Publication 901. Additionally, foreign buyers pay 15.5% capital gains tax on U.S. property sales, per the U.S. Department of the Treasury. These factors necessitate meticulous financial planning and expert guidance to navigate legal and tax complexities.