Kentucky USDA Mortgage Loans down to a 620 Credit Score.

USDA 620+ MIN FICO
NO OVERLAYS!!!!
(GUS ACCEPTS AND REFERS)
_______________24 HOUR TURN TIMES_______________

620+ MIN FICO- REFERS AND GUS ACCEPTS!
620+ – YES WE DO REFERS!(29/41 MAX RATIOS)U/W DIRECTLY TO RD MANUAL GUIDES
620+ GUS ACCEPTS – NO OVERLAYS – follow GUS findings
101% LTV of appraised value
Ratios to 32/44 w/ 620+ and GUS approval w/ comp. factors for debt waiver
0.35% Annual Fee, 1% Guarantee Fee
We Accept Transfer Appraisals – No Problem on all loans
File sent to RD within 24 Hours of UW clear!
File sent to docs within 24 Hours of Receipt of the RD commitment
Up to 6% seller concessions allowed
620+ – GUS Accept – must have 2 trades for 12 months(open/closed) – or manual downgrade

____________________GUS Refers___________________

620 – scores OK!
29/41 max ratios
VOR or 12 months cancelled rents checks required
Tradelines or alt tradelines required
Medical collections & charge off accounts ignored – consumer collections follow HUD $2000 guidelines (Call us for details!)
Minimal lates allowed in past 12 months

Louisville Kentucky Mortgage Loans

USDA 620+ MIN FICONO OVERLAYS!!!!(GUS ACCEPTS AND REFERS)
_______________24 HOUR TURN TIMES_______________
620+ MIN FICO– REFERS AND GUS ACCEPTS!620+ – YES WE DO REFERS!(29/41 MAX RATIOS)U/W DIRECTLY TO RD MANUAL GUIDES620+ GUS ACCEPTS – NO OVERLAYS – follow GUS findings101% LTV of appraised valueRatios to 32/44 w/ 620+ and GUS approval w/ comp. factors for debt waiver0.35% Annual Fee, 1% Guarantee FeeWe Accept Transfer Appraisals – No Problem on all loansFile sent to RD within 24 Hours of UW clear!File sent to docs within 24 Hours of Receipt of the RD commitmentUp to 6% seller concessions allowed620+ – GUS Accept – must have 2 trades for 12 months(open/closed)- or manual downgrade
____________________GUS Refers___________________
620- scores OK!29/41 max ratiosVOR or 12 months cancelled rents checks requiredTradelines or alt tradelines requiredMedical collections & charge off accounts ignored – consumer collections follow HUD $2000 guidelines…

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Kentucky USDA Mortgage Loans down to a 620 Credit Score.

620 credit score USDA Loan Kentucky

USDA 620+ MIN FICO

NO OVERLAYS!!!!(GUS ACCEPTS AND REFERS)
620+ MIN FICO– REFERS AND GUS ACCEPTS!

620+ GUS ACCEPTS – NO OVERLAYS – follow GUS findings

101% LTV of appraised value

Ratios to 32/44 w/ 620+ and GUS approval w/ comp. factors for debt waiver

0.35% Annual Fee, 1% Guarantee Fee

We Accept Transfer Appraisals – No Problem on all loans
File sent to RD within 24 Hours of UW clear!

File sent to docs within 24 Hours of Receipt of the RD commitment
Up to 6% seller concessions allowed

620+ – GUS Accept – must have 2 trades for 12 months(open/closed) – or manual downgrade
____________________GUS Refers___________________
620 – scores OK!29/41 max ratios
VOR or 12 months cancelled rents checks required

Tradelines or alt tradelines required

Medical collections & charge off accounts ignored – consumer collections follow HUD $2000 guidelines

(Call us for details!)

Minimal lates allowed in past 12 months

USDA Lender Kentucky

Joel Lobb
Mortgage Loan Officer
Individual NMLS ID #57916

American Mortgage Solutions, Inc.10602 Timberwood Circle Louisville, KY 40223Company NMLS ID #1364

click here for directions to our office
Text/call:      502-905-3708fax:            502-327-9119
email:
          kentuckyloan@gmail.com

https://www.mylouisvillekentuckymortgage.com/

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

 

Why use USDA financing for your next home purchase in Kentucky?

There are very few ways to purchase a home these days in Kentucky without a typical 3.5% down payment that is required for an FHA loans in Kentucky.  Many home buyers in Kentucky are surprised to find that a USDA Home Loan offers a lower payment than an FHA loan, even with NO DOWN PAYMENT!  “How can this be?” you ask.  The reason is because a Kentucky USDA home loan requires much lower MORTGAGE INSURANCE.

Kentucky FHA Loan vs. Kentucky USDA Loan Comparison

FHA USDA
   
   
$150,000 purchase price $150,000 purchase price
   
4.75% 30 year fixed rate 4.75% fixed rate
   
1.75% up front mortgage insurance (financed) 1.0% Guarantee Fee (financed)
  .85% month mi premium .35% monthly mi premium
$871.19 P&I monthly payment
with monthly mortgage insurance (not including taxes and insurance)
$826.86 P&I monthly payment (not including taxes and insurance
   
$5250.00 required down payment $0 down payment
   

A rural housing USDA loan saved this client $46.74 per month and they made NO DOWN PAYMENT!

Other benefits of Kentucky USDA Home Loans

  • Low up front closing costs
  • In some cases closing costs can be financed if home appraises for more than purchase price 
  • Minor credit problems OK with a minimum credit score of 581***Most lenders will want a 620 or 640 score or higher.
  • No maximum loan amounts just household income limits based on which Kentucky County you are buying a home.
  • Fixed Rates Only for 30 years with no prepay penalty

A Kentucky USDA rural housing loan strive to find anyway possible to approve your loan, however there are some cases where a USDA Loan is not an option;

a previous bankruptcy must be discharged 3 years,

you must occupy the home being purchased as your primary residence,

the home may not be used for income producing purposes (farm, rental, etc.),

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Joel Lobb (NMLS#57916)
Senior  Loan Officer
 
American Mortgage Solutions, Inc.
10602 Timberwood Circle Suite 3
Louisville, KY 40223
Company ID #1364 | MB73346
 


Text/call 502-905-3708
kentuckyloan@gmail.com

If you are an individual with disabilities who needs accommodation, or you are having difficulty using our website to apply for a loan, please contact us at 502-905-3708.
Disclaimer: No statement on this site is a commitment to make a loan. Loans are subject to borrower qualifications, including income, property evaluation, sufficient equity in the home to meet Loan-to-Value requirements, and final credit approval. Approvals are subject to underwriting guidelines, interest rates, and program guidelines and are subject to change without notice based on applicant’s eligibility and market conditions. Refinancing an existing loan may result in total finance charges being higher over the life of a loan. Reduction in payments may reflect a longer loan term. Terms of any loan may be subject to payment of points and fees by the applicant  Equal Opportunity Lender. NMLS#57916http://www.nmlsconsumeraccess.org/

Popular Kentucky Mortgage Terms To Know

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”

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”

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Kentucky USDA Guideline Changes for Income, Student Loans, and total debt ratios.

Kentucky USDA Guideline Changes for Income, Student Loans, and total debt ratios.

Kentucky USDA Guideline Changes for Income, Student Loans, and total debt ratios.

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Kentucky USDA Guideline Changes for Income, Student Loans, and total debt ratios.

Kentucky USDA Guideline Changes for Income, Student Loans, and total debt ratios.

Updated HB-1-3555, Chapter 11, Ratio Analysis

The Single Family Housing Guaranteed Loan Program (SFHGLP) is pleased to announce revisions to technical HB-1-3555, Chapter 11, Ratio Analysis. An advance copy of the proposed changes was made available on July 20, 2021.  These changes became effective upon the recent issuance of a Procedure Notice (PN).  Below are the highlighted revisions:

Chapter 11- Ratio Analysis

11.2 B. The Total Debt Ratio:

  • Student Loans: Removed the phrase “the greater of” from Non-Fixed payment loans and added guidance regarding “when the payment is above zero” and “when the payment is zero”.
  • Revolving accounts: “with no outstanding balance” are not required to be closed.
  • Mortgages: Rental Property – Eliminated language regarding omission of mortgage debt.  Guidance for entry of rental income in GUS is provided in the GUS Lender User Guide under Section 4.1.4.1.1, Retained Investment Properties.
  • Added: Debt management plans:
    • Include the monthly payment amount due from the counseling plan.
    • Refer to Chapter 10 for guidance on credit exception and documentation requirements.

11.3 DEBT RATIO WAIVERS AND COMPENSATING FACTORS

A. Purchase Transactions: Debt Ratio Waivers

  • GUS Refer, Refer with Caution, and manually underwritten loans without GUS assistance:
    • Added: “The lender must document eligible compensating factors to support a debt ratio waiver.”
    • Added: “all” of the following conditions are met to the first paragraph.
  • Debt Ratio Waiver Request and Agency Approval:
    • Added: “The issuance of the Conditional Commitment for a Loan Note Guarantee represents Agency approval of the ratio waiver.”

B. Refinance Transactions: Debt Ratio Waivers

  • Added a bullet:  GUS files that receive a GUS recommendation of Refer, Refer with Caution, or are not supported by GUS, require debt ratio waivers, and supporting documentation must be submitted to the Agency.
  • Added: “The issuance of the Conditional Commitment for a Loan Note Guarantee represents Agency approval of the ratio waiver”. 

11.7 OBLIGATIONS NOT INCLUDED IN DEBT-TO-INCOME RATIOS

  • Added: “unless a payment plan is in place” to the second bullet concerning Federal, state, and local taxes.

Joel Lobb
Mortgage Loan Officer
Individual NMLS ID #57916

American Mortgage Solutions, Inc.10602 Timberwood Circle Louisville, KY 40223Company NMLS ID #1364

click here for directions to our office
Text/call:      502-905-3708fax:            502-327-9119
email:
          kentuckyloan@gmail.com

https://www.mylouisvillekentuckymortgage.com/

Fiscal Year 2022 Conditional Commitment for Kentucky USDA Rural Housing Loans

Conditional Commitment for Kentucky USDA Rural Housing Loans


Fiscal Year 2022 Conditional Commitment NoticeWith 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 all conditions of the Conditional Commitment are satisfied;Lenders assume all loss default risk for the loan until Rural Development is able to obligate the loan and issue the Loan Note Guarantee.  Thank you for your participation in the USDA Single Family Housing Guaranteed Program. We look forward to serving you in FY 2022!

Posted by Joel Lobb, Mortgage Broker FHA, VA, KHC, USDA  Email ThisBlogThis!Share to TwitterShare to FacebookShare to Pinterest

Conditional Commitment for Kentucky USDA Rural Housing Loans


Fiscal Year 2022 Conditional Commitment NoticeWith 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 all conditions of the Conditional Commitment are satisfied;Lenders assume all loss default risk for the loan until Rural Development is able to obligate the loan and issue the Loan Note Guarantee.  Thank you for your participation in the USDA Single Family Housing Guaranteed Program. We look forward to serving you in FY 2022!

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

Effective on 9/18/21, Fannie Mae announced that their Automated Underwriting System will now take an AVERAGE of the two scores for qualifying https://kyfirsttimehomebuyer.wordpress.com/2021/08/18/effective-on-9-18-21-fannie-mae-announced-that-their-automated-underwriting-system-will-now-take-an-average-of-the-two-scores-for-qualifying/ via
@kentuckyloan
#creditscore #ficoscore #mortgage #homeloan #mortgagebroker

Effective on 9/18/21, Fannie Mae announced that their Automated Underwriting System will now take an AVERAGE of the two scores for qualifying https://kyfirsttimehomebuyer.wordpress.com/2021/08/18/effective-on-9-18-21-fannie-mae-announced-that-their-automated-underwriting-system-will-now-take-an-average-of-the-two-scores-for-qualifying/ via @kentuckyloan #creditscore #ficoscore #mortgage #homeloan #mortgagebroker

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Benefits and Drawbacks of Kentucky VA Mortgage Loans

Kentucky VA Mortgage  Loans

Louisville Kentucky Mortgage Loans

Kentucky VA Mortgage  Loans

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Kentucky USDA Rural Housing Changes for Below

USDA Advance Copy Notice HB-1-3555 Chapter 11
USDA has announced that Chapter 11 of the HB-1-3555 will be updated and an advanced copy has been provided.  Changes will become effective after USDA issues a Special Procedure Notice.

  • Clarification was added that revolving accounts with no outstanding balance are not required to be closed.
  • USDA eliminated guidelines provided that a retained property that has been rented for 24 months or longer may be omitted from the DTI, and
  • Added guidance that the income received from rents may only be included in the repayment calculation if the property has been rented for 24 mo. or more.
  • Guidelines were added that monthly payment for borrowers in debt management plans must be included in the DTI.
  • The calculation guidelines for Non-Fixed Student Loan Payments were updated removing the requirement for the greater of calculation to be used and added guidance for when the payment amount is zero.
  • Additional guidance was added that compensating factors supporting Debt Ratio Waivers for manually underwritten loans must be documented.
  • Clarification was added that federal, state and local taxes don’t need to be included in the DTI unless there is a payment plan in place.

Refer to the Advance Copy Notice HB-1-3555 Chapter 11 and Chapter 11: Ratio Analysis

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