Wednesday, November 6, 2013

Down Payment and Closing Costs Assistance for A First Time Home Buyer in Kentucky

Down Payment and Closing Costs Assistance for A First Time Home Buyer in Kentucky 


 Kentucky First Time Home buyer zero down payment with assistance for down payment and closing costs thru KHC
 Kentucky First Time Home buyer zero down payment with assistance for down payment and closing costs thru KHC 


In the State of Kentucky, there are mortgage loans available for First Time Home Buyers to purchase a home with no down payment. KHC or KY Housing classifies a first time home buyer as someone that has not owned a home in the last 3 years. 

There are two different types of Down Payment Assistance thru KHC that are outlined below:

Regular DAP

  • Purchase price up to $243,000.
  • Assistance in the form of a loan up to $6,000 in $100 increments.
  • Repayable over a ten-year term at 5.50 percent.  A DAP of $6,000 over ten years at 5.50 percent interest would equal a payment of $65.12.
  • Available to all KHC first-mortgage loan recipients.

Affordable-DAP

  • Purchase price up to $243,000.
  • Assistance up to $4,500
  • Repayable over a ten-year term at 1.00 percent. 
  • Borrowers must meet Affordable DAP Household Income Limits.

More about down payment and closing costs

  • No liquid asset review and no limit on borrower reserves.
  • Specific credit underwriting standards may apply to down payment programs.

To successfully originate KHC mortgages you should begin with qualified credit score of 640
 Max Housing  ratio caps of 40%/45% 

Mortgage Pre-Approval  Loan Checklist
The following is a list of documents that may be required to process your mortgage loan:
·        One full month’s worth of pay stubs
·        Last 2 years W-2′s
·         Last 3 years tax returns 
·        Last two months bank statements for all accounts all pages
·      
I don't need originals, copies are fine. You can fax, email, or drop off at my office below .  I will supply you a copy of your credit report for free along with your pre-approval letter to buy a home. 

It usually takes about 24 hours for a pre-approval to come back from underwriting department. 

Let me know your questions. 

Thanks and look forward to helping you


-- 
Joel Lobb (NMLS#57916)
Senior  Loan Officer