Short answer
Not until it's resolved. HUD bars FHA loans for borrowers with delinquent federal non-tax debt, such as a defaulted federal student loan or a debt left from a past FHA loan. Lenders check every borrower against HUD's Credit Alert Verification Reporting System (CAIVRS). Once the debt is resolved with the agency you owe, the application can move forward. Delinquent federal taxes can work with an IRS payment plan and three months of on-time payments.
What is CAIVRS?
The Credit Alert Verification Reporting System is a federal database lenders use to check for delinquent federal debt. HUD's Handbook 4000.1 requires FHA lenders to check every borrower against it, along with public records and the credit report. Debts that can show up include defaulted federal loans and deficiency judgments or other debts tied to a past FHA-insured mortgage.
What happens if my name comes up?
The lender has to confirm the debt is real and still delinquent by contacting the agency that's owed, using the phone number and reference number on the CAIVRS report. A lender can't deny the loan based only on CAIVRS information it hasn't verified. If the agency confirms the debt is valid and delinquent, you're not eligible for FHA until you resolve it with that agency.
How do I resolve it?
HUD says the debt must be resolved under the Debt Collection Improvement Act, and the agency owed can confirm when it is. Ask that agency what options it offers and get written confirmation once it's done. For a debt reported in CAIVRS, a clear CAIVRS report can serve as the lender's proof. Any agreed payment on a federal debt counts in your debt-to-income ratio.
What about back federal taxes?
Delinquent federal tax debt also makes you ineligible, but HUD allows an unpaid tax lien to stay in place if you have a valid repayment agreement with the IRS and have made at least three months of scheduled payments on time. Paying ahead doesn't count toward the three months. The payment counts in your debt ratio. For conventional loans, see owing the IRS and getting a mortgage.
What if I'm behind on a current FHA loan?
If you're currently delinquent on an FHA-insured mortgage, you can't get a new FHA loan until the delinquency is resolved. See options if you can't make your mortgage payment and buying again after bankruptcy or foreclosure.
Sources
- HUD Single Family Housing Policy Handbook 4000.1, Update 18 (August 2026), Borrower Ineligibility Due to Delinquent Federal Non-Tax Debt; Delinquent Federal Tax Debt
- HUD Single Family Housing Policy Handbook 4000.1, Update 18 (August 2026), Federal Debt (TOTAL)
Checked November 2, 2026. Rules and dates change, so confirm current details before you rely on them.
General information only, not tax or legal advice. Program availability, eligibility and terms vary by lender and are subject to change and to underwriting approval. Not a commitment to lend.