Not really. The mortgage originators and purchasers were throwing money at anyone who would sign a piece of paper, without regard to legality of their presence in this country, evidence of ability to pay, or anything else. The great bulk of these mortgages went to citizens and legal immigrants, and I suspect the portion that went to illegal immigrants would just have been substituted with more going to other “buyers” if the immigrants had been kept out of the country or denied mortgages.
I read an article that said 60% of HUD loans in foreclosure belong to illegal immigrants.The government encouraged banks to give mortgages to illegals and now the American citizen will pay for it. This could be the beginning of the worst financial crisis in a long time and the government played a major part in creating it.