Credit Inquiry Infographic Slides for YouTube
💳

Hard vs. Soft
Credit Inquiries

What Kentucky Homebuyers Need to Know
Joel Lobb | Kentucky Mortgage Expert

Quick Reference Guide

🟢 Soft Pull

  • No credit score impact
  • Pre-qualification only
  • Not visible to lenders
  • No authorization needed

🔵 Hard Pull

  • Required for approval
  • Minor impact (under 5 pts)
  • Visible for 2 years
  • Multiple = 1 (30-45 days)
Joel Lobb | (502) 905-3708

🔴 What Is a Hard Inquiry?

Used for Official Loan Applications

  • 📋 Requires your authorization
  • 👀 Visible to other lenders
  • 📉 Drops score 3-5 points temporarily
  • Stays on report for 2 years
  • Required for mortgage pre-approval
Joel Lobb | Kentucky Loan Officer

🟢 What Is a Soft Inquiry?

Used for Pre-Qualification & Exploration

  • Zero impact on credit score
  • 🔒 Not visible to other lenders
  • 📱 No formal application needed
  • 💡 Perfect for exploring options
  • 🎯 See what you can afford first
Joel Lobb | NMLS #57916

Credit Score Impact

Soft Inquiry

0

Points Lost
No Impact!

Hard Inquiry

3-5

Points Lost
Temporary & Minor

Joel Lobb | Kentucky Mortgages
💡

Pro Tip for Rate Shopping

Multiple mortgage hard inquiries within 30-45 days count as ONE INQUIRY for credit scoring purposes.

Shop around without fear!

Joel Lobb | (502) 905-3708

Best Practices: 6-12 Months Before Buying

1

Avoid New Credit

No new car loans, credit cards, or retail financing

2

Pay Down Debt

Reduce credit card balances below 30% of limits

3

Stay Current

Make all payments on time, every time

4

Get Soft Pull Pre-Qual

Check where you stand with ZERO score impact

Joel Lobb | Kentucky Housing Expert

Ready to Get Started?

🏡 Get a Soft Pull Pre-Qualification

See what you can afford with ZERO impact to your credit score

📞 (502) 905-3708
📧 kentuckyloan@gmail.com
FHA
VA
USDA
KHC
Conventional

Joel Lobb | 20+ Years Experience | 1,300+ Kentucky Families Helped

NMLS #57916 | Equal Housing Lender

How to Buy Your First Home in Kentucky with Zero Money Down: Complete 2025 Guide

How to Buy Your First Home in Kentucky with Zero Money Down

The Complete 2025 Guide to No Money Down Mortgages in Kentucky

By Joel Lobb |Joel Lobb, Kentucky Mortgage Broker FHA, VA, KHC, USDA Mortgage Loans | Updated August 2025

Get Pre-Approved Today

Introduction: The Kentucky Dream of Homeownership

For many Kentucky residents, the dream of homeownership feels just out of reach because of down payment requirements. With the state’s median home price at $224,303 in 2025, a traditional 20% down payment would mean saving nearly $45,000 in cash.

Fortunately, Kentucky offers some of the nation’s most generous no money down mortgage programs, including USDA, VA, FHA with assistance, and Kentucky Housing Corporation (KHC) loans. This guide explains how you can purchase your first Kentucky home with little to no upfront cash.

Kentucky's Top Zero Down Payment Programs

Program Down Payment Credit Score Income Limits Restrictions
USDA Rural Development0%580+YesRural only
VA Loans0%No minimum score but 620 preferredNoStatewide
FHA + KHC DAP0% with assistance580–620+YesStatewide
5% grant toward Purchase Price0% with assistance600–640+NoStatewide

Program Snapshots

USDA Loans

  • 100% financing
  • Available in 95% of Kentucky
  • No mortgage insurance

VA Loans

  • 0% down payment for veterans & active duty
  • No PMI ever
  • Lowest interest rates

FHA with Assistance

  • Down payment covered by KHC or lender DPA
  • Flexible credit scores (580+ for some DPA and 620+ score for KHC $10 Dap loan )
  • Great for first-time buyers

Important Note

“No money down” doesn’t always mean zero at closing. You may still need money for closing costs (2–5%). The good news: seller concessions, grants, or KHC programs can often cover those too—meaning true zero out-of-pocket homeownership is possible.

Frequently Asked Questions

Can I really buy a home in Kentucky with no money down?

Yes. USDA and VA loans allow 100% financing. FHA loans can reach zero down when paired with Kentucky Housing’s Down Payment Assistance Program (DAP).

Do I need perfect credit?

No. USDA typically requires 580+, FHA allows 580+ with 3.5% down payment and 500 credit score with 10% down payment, and VA has no minimum score requirement but most lenders want a 620 or above.

What if I don’t have closing cost money?

You can use seller concessions, grants, or lender credits to cover closing costs. Many of my clients purchase with $0 at closing.

Ready to Get Started?

Your Kentucky dream home is closer than you think. I’ll guide you step-by-step, help you choose the right program, and work to get you approved quickly.

Call Joel at (502) 905-3708 Email Me for Pre-Approval

Joel Lobb | Senior Loan Officer | Joel Lobb, Kentucky Mortgage Broker FHA, VA, KHC, USDA Mortgage Loans
NMLS ID: 57916 | Company NMLS ID: 1738461

Equal Housing Lender. All loans subject to credit approval. Rates, terms, and programs subject to change without notice. This is not a commitment to lend. We do business in accordance with the Federal Fair Housing Law.

Equal Housing Lender