Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Down Payment Assistance Home Loans bad credit fha loans Kentucky, Bankruptcy, bonus income fha loan, Chapter 13 Bankruptcy Guidelines, chapter 7 bankruptcy, chapter 7 or chapter 13, FHA, FHA Guidelines, FHA Streamline Refinance, income, job time, KY FHA LOANS, overtime income fha loan, Overtime, Bonus, or Tip Income, well water FHA mortgage

Kentucky FHA Guideline Update

FHA has published the following guideline updates, which will be effective for all Kentucky FHA loans with case numbers assigned on or after September 9th
  • Specific verbiage for Well Water Testing has been added indicating that it must be performed by a disinterested party in a method acceptable to the local health authority. The borrower or any other interested party may not have contact with the sample. Additionally, cases mandating a Well Water Test have been added to include (but not limited to) the following
    • Newly constructed properties and/or wells
    • Properties with deficiencies in the well or well water as determined by an appraiser
    • Areas where water has been reported or is otherwise known to be unsafe
    • Properties located in close proximity to dumps, landfills, industrial sites, farms, or other sites that could contain hazardous waste
    • Properties where distance between well and septic systems is less than 100 feet
  • Clarification issued indicating how to calculate FHA income for Overtime, Bonus, or Tip Income must be calculated using the lesser of
    • Average Overtime, Bonus, or Tip income earned over the previous 2 years (or if earned less than 2 years, the total length of time it has been received); OR
    • Average Overtime, Bonus, or Tip income earned over the previous year
  • All requirements regarding unreimbursed business expenses and Commission Income or Automobile Allowances has been completely removed to align with current IRS tax laws
  • Rent Below Fair Market has been defined as an inducement to purchase when the borrower is allowed to live in the property rent free or at a rental amount more than 10 percent under the fair market rent as determined by the appraiser.
  • Clarification has been added that Reduction in Term for Kentucky FHA Mortgage Streamline Refinances refers specifically to the reduction of the remaining amortization period of the existing mortgage.
FHA Guidelines For Bankruptcy, income, down payment, mortgage insurance, credit scores, work history for FHA loan
FHA Guidelines For Bankruptcy, income, down payment, mortgage insurance, credit scores, work history for FHA loan

If you have questions about qualifying as first time home buyer in Kentucky, please call, text, email or fill out free prequalification below for your next mortgage loan pre-approval.

Joel Lobb
Senior  Loan Officer

(NMLS#57916)


Text or call phone: (502) 905-3708

email me at kentuckyloan@gmail.com

http://www.mylouisvillekentuckymortgage.com/


The view and opinions stated on this website belong solely to the authors, and are intended for informational purposes only.  The posted information does not guarantee approval, nor does it comprise full underwriting guidelines.  This does not represent being part of a government agency. The views expressed on this post are mine and do not necessarily reflect the views of my employer. Not all products or services mentioned on this site may fit all people

This web site is not the FHA, VA, USDA, HUD or any other government organization responsible for managing, insuring, regulating or issuing residential mortgage loans.

**Download Fair Housing Booklet – CLICK HERE

All approvals and rates are not guaranteed, and are only issued based on standard mortgage qualifying guidelines



Remember, we are even available this weekend for pre-qualifications or questions.  Call our cell phone or email us.  If you miss us, leave a message and we WILL call you back 

Related image

Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Down Payment Assistance Home Loans KY FHA LOANS

Kentucky First Time Home Buyer Questions and Answers

KENTUCKY FIRST TIME HOME BUYER GRANTS, CREDIT SCORE FIRST TIME HOME BUYER LOUISVILLE KENTUCKY KHC, FHA LOANS KENTUCKY HOUSING FIRST TIME HOME BUYER, FIRST TIME HOME BUYER, FIRST TIME HOME BUYER LOANS–KENTUCKY, FIRST TIME TAX CREDIT EXTENSION?, KENTUCKY FIRST TIME HOME BUYER GRANTS AND DOWNPAYMENT ASSISTANCE

Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Down Payment Assistance Home Loans's avatarLouisville Kentucky Mortgage Loans

Kentucky First Time Home Buyer Questions Answered:

What will my mortgage rate be?

We’ll begin with what always seems to be everyone’s number one concern, saving money. Similar to any other monthly payments you’re attempting to negotiate, it depends on a lot of factors. But we can at least clear up a few items to give you an idea of how things will go. Ultimately, the more risk you present to the mortgage lender, the higher your mortgage rate. So, if you have poor credit and come in with a low, down payment, expect a higher interest rate relative to someone with a flawless credit history and a large down payment. The higher interest rate is intended to compensate the lender for the potential of greater risk of a missed payment as data proves those with questionable credit and low down payments are more likely to fall behind on their…

View original post 2,906 more words

Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Down Payment Assistance Home Loans KY FHA LOANS

No Money Down Kentucky USDA Rural Loan Program

First Time Home Buyer Loans–Kentucky
foreclosure usda loans ky
government shutdown USDA Loans KY
Kentucky USDA Loans
Kentucky USDA Mortgage Loans Affected by COVID-19
Maps for USDA property Eligibility
Rural Housing Loans and USDA Loans
undewriting turn times USDA loans
usda rural housing guidelines
USDA/Rural housing

Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Down Payment Assistance Home Loans's avatarLouisville Kentucky Mortgage Loans

  • Kentucky
  • USDA Rural Development
  • zero down kentucky home loan
  • Rural development

View original post

Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Down Payment Assistance Home Loans KY FHA LOANS

When qualifying for a USDA Loan and the borrower already owns another house?

USDA Loan assumes a very conservative perspective on financing homeowners who already own a home, unless the borrower can prove that the current home is not “adequate or suitable” for the borrower’s needs.

Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Down Payment Assistance Home Loans's avatarLouisville Kentucky Mortgage Loans

USDA Loan assumes a very conservative perspective on financing homeowners who already own a home, unless the borrower can prove that the current home is not “adequate or suitable” for the borrower’s needs.

View original post

Kentucky Mortgage Broker Offering FHA, VA, USDA, Conventional, and KHC Down Payment Assistance Home Loans debt to income ratios, employment, Employment Gaps, FHA, FHA Guidelines, first time buyer kentucky, KY FHA LOANS

Debt-to-Income Ratio for Kentucky Mortgage Loans:

Check your debt-to-income ratio (DTI).
Mortgage lenders want to know how much debt you have compared to your income. It’s called your debt-to-income (DTI) ratio, and the better it is, the better mortgage terms you’ll get.

Find your DTI by plugging your financial numbers into Trulia’s affordability calculator. The percentage is found by dividing your debt by your income. For example, if your total debt is $3,000 a month (including your new mortgage payment), and your gross income is $6,000 a month, your DTI would be 50%.

Lenders typically prefer DTI to be no more than 36%—although some types of mortgages allow for a DTI of 50%. To lower yours, you can pay down debt or bring in more income.

One of the main pieces of an FHA loan approval is the borrower’s debt to income calculation. It is important that home buyers understand how this number is calculated and what they can do to improve their chances of getting approved.
Payments Included in Debt Ratios
Certain payments must be considered as part of a person’s overall debt when calculating the ratios. Items such as:
  • Payments for car loans
  • Payments on credit cards
  • Payments on unsecured loans
  • Child support payments
  • Alimony
Items Excluded from Debt Ratios
There are also some items not included in the debt to income ratio for FHA loans. Common examples would be:
  • Current rent payment
  • Money spent on entertainment
  • Expenses paid for child care
How to Overcome High Debt to Income Ratios
If a borrower has a compensating factor, it is possible for people with ratios higher than the proposed guidelines to get an approval for an FHA loan. Here are some examples of compensating factors:
  • Paying more than 10% of the purchase price as a down payment
  • Using income and expense records from the past two years to demonstrate that you have the ability and discipline to pay the housing expense
  • Having a large balance in a savings, investment or retirement account
For people that have a high debt to income ratio, it is possible to reduce the numbers. Paying off debt, such as credit cards or car loans can help. Sometimes it may be necessary to sell an expensive vehicle and get a cheaper payment in order to qualify for a loan.
 

Unknown's avatarLouisville Kentucky Mortgage Loans

via Debt-to-Income Ratio for Kentucky Mortgage Loans:

maxresdefaultWhat does debt to income ratio mean for a Mortgage Loan Approval in Kentucky?

View original post