Kentucky FHA Loan Requirements for 2022

USDA Home Loan in Kentucky Compared to FHA loans in Kentucky.

bankruptcy and mortgage loan approval

bankruptcy and mortgage loan approval

Louisville Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Zero Down Payment Home Loans made the following changes to the “Popular Kentucky Mortgage Terms To Know”

Fiscal Year 2022 Conditional Commitment for Kentucky USDA Rural Housing Loans

Fiscal Year 2022 Conditional Commitment Notice
With the start of Fiscal Year 2022 (FY) soon approaching, please take a few minutes to review the Single-Family Housing Guaranteed Loan Program (SFHGLP) Conditional Commitment process. We hope you find this information helpful.

FY 2022 will begin October 1, 2021 and ends at the close of business September 30, 2022.

Fee Structures:

An upfront guarantee fee of 1.00 percent and an annual fee of .35 percent will apply to both purchase and refinance transactions for FY 2022.

Issuance of Conditional Commitments:

At the beginning of each fiscal year, funding for the guaranteed loan program is not available for a short period of time – approximately two weeks. USDA anticipates this brief lapse in funding to continue for FY 2022. During the temporary lapse in funding, Rural Development – Rural Housing Service (RHS) will issue Conditional Commitments (Form RD 3555-18/18E) “subject to the availability of commitment authority” for purchase and refinance transactions. The issued Conditional Commitment will include the following:

“Funds are not presently available for this Conditional Commitment. The Rural Development-Rural Housing Service (RHS) obligation under this Conditional Commitment is contingent upon the availability of an appropriation from which payment for contract purposes can be made. No legal liability on the part of RHS for any payment on this Conditional Commitment may arise until funds are made available to RHS for this Conditional Commitment and until the Lender receives notice of such availability, to be confirmed in writing by RHS. More specifically, this Conditional Commitment is subject to RHS receiving sufficient funds (in the Program Funds Control System for the Single Family Housing Guaranteed Loan Program for the Type of Assistance and State of application submission) to fund this and all prior eligible outstanding applications in their entirety in the time and date order received. When such funds become available, RHS will notify the lender, and the guarantee process will continue subject to all applicable Agency regulations and conditions set forth in this Conditional Commitment. RHS will not reserve loan funds for applications in process during this timeframe. Lenders may close the loan as scheduled. The lender will assume all risk of loss for the loan until RHS obligates funds and the Loan Note Guarantee is subsequently issued. When the lender requests the Loan Note Guarantee, the lender must certify to the Agency, using the process provided in this commitment, that there have been no adverse changes to the borrower’s financial condition since the date the Conditional Commitment was issued by the Agency. The lender will submit the appropriate guarantee fee at the time they request the Loan Note Guarantee. The loan will be subject to an annual fee of 0.35 percent over the average scheduled unpaid principal balance of the loan. The Agency will not be able to issue the Loan Note Guarantee until these conditions are met and funding is obligated.”

The application processing workflow is as follows:

Rural Development will continue to accept complete guaranteed loan applications for purchase and refinance loan transactions from approved lenders;
Rural Development will process, approve, and issue Conditional Commitments for those applications that are eligible “subject to the availability of commitment authority”;
Lenders may close loans as scheduled;
When funds become available, Rural Development will utilize the Electronic Customer File (ECF) system to advance the file to “Obligate Application” for Conditional Commitments that were issued for loans subject to the availability of commitment authority;
Once loans are obligated, Rural Development may process lender’s Loan Note Guarantee requests when the loan closing is verified, and

Effective on 9/18/21, Fannie Mae announced that their Automated Underwriting System will now take an AVERAGE of the two scores for qualifying

What is a debt to income ratio?

FHA now allowing 0.5% on Student Loans instead of 1%
BREAKING NEWS: KENTUCKY FHA & STUDENT LOANS

Here are all the $0 Mortgage options in Kentucky

VA – available to veterans, surviving spouses and active military. • VA Mortgages are always $0 down.• FICO Score – 620 preferable.• Need DD214 (honorable discharge) and Certificate of Eligibility.• Seller can pay up to 4% of closing costs.

USDA: the location of the property determines the $0 Down.• Seller can pay 6% of closing costs. • Income Limitations – Any primary home.

. FHA $0 Down – one of my lenders offers FHA Down Payment Assistance by way of a 2nd Mortgage.• FICO Score 620. • Ideal for First Time Home Buyers. • 2 Mortgages: 1 for 96.5% and 2nd for 3.5%.• Largest loan size based on county: $356,362• Seller can pay closing costs up to 6% of price

FHA
Minimum credit score
580 AUS Approved
580 Manual
theNada program – easiest DPA ever – 100% cltv, done in-house
Non-Credit Qualifying Streamline refinances allowed
Gift funds allowed for down payment and closing costs
Cash out 80% LTV
DACA Allowed – EAD must reflect Category C33
theNADA
Easiest FHA DPA loan ever
580 FICO Minimum for DU Refer Eligible
No DTI Restrictions – up to 46.99%/56.99% with Approve Eligible
No Income Limitations
Available in all Areas
Maximum Loan Amount per County Limits, Now Including High Costs Counties
2nd Payment must be included in housing DTI
Follow FHA guidelines and DU findings
Homeowner Education (at least one borrower) Required
Seller Contributions: FHA Allowable of up to 6%
Non Occupying Co-Borrowers Allowed
Lender & Borrower Paid Compensation Options Available