How to Get Approved for a VA Home Mortgage Loan in Kentucky

Kentucky VA Home Mortgage Loan

A Kentucky VA home mortgage loan can be a straightforward process with significant benefits, including no down payment and competitive interest rates.

Here’s a comprehensive guide to getting approved for a Kentucky VA home mortgage loan in Kentucky, covering all crucial aspects such as credit score, debt ratio, work history, bankruptcy, foreclosure, income limits, funding fees, loan limits, appraisal, termite inspection, title report, and closing the loan.

Credit Score needed for Kentucky VA loan

While the VA does not set a minimum credit score requirement for Kentucky VA Mortgage loan approvals, lenders typically look for a credit score of at least 620. However, some lenders may accept lower scores based on other favorable factors such as a solid work history or low debt-to-income ratio.

Debt-to-Income Ratio needed for Kentucky VA loan

The VA prefers a debt-to-income (DTI) ratio of 41% or less. This means your monthly debt payments, including the new mortgage, should not exceed 41% of your gross monthly income. Exceptions can be made for borrowers with strong residual incomes or other compensating factors. Residual Income table here ->

Work History needed for Kentucky VA loan

A stable 2 year work history is crucial. Lenders usually require at least two years of continuous employment. Consistent income from a reliable source reassures lenders of your ability to make mortgage payments.

Bankruptcy Requirements for Kentucky VA loan

For veterans with a history of bankruptcy, VA loans offer leniency. Typically, you must wait two years after a Chapter 7 discharge before qualifying. For Chapter 13, you can apply after one year of making satisfactory payments, provided you have the court’s permission, meet debt to income requirements, have a stable work history and meet residual income requirements

Foreclosure Requirements for a Kentucky VA loan

Kentucky VA Home buyers will need to wait two years after a foreclosure (date home is sold) before applying for a VA loan. The 2 year seasoning requirement starts when the house deed is transferred back to the lender or person that bought it at foreclosure auction

Income Limits for Kentucky VA loans

Kentucky VA loans does not have income limits. However, your income must be sufficient to cover the mortgage payments and other obligations. Lenders will evaluate your residual income, which is the amount left after meeting your monthly obligations and check your debt to income ratio to see if you qualify for a KY VA home loan.

Funding Fees for Kentucky VA loans

The VA charges a funding fee to help cover losses on defaulted loans. The fee can be financed into the loan or paid upfront. The amount varies depending on factors such as the size of your down payment and whether it’s your first VA loan:

• First-time use with no down payment: 2.3%
• Subsequent use with no down payment: 3.6%
• see chart here->

Loan Limits for Kentucky VA loans.

Kentucky VA loans do not have a maximum loan amount, but there are limits on the amount the VA will guarantee without a down payment. For most counties in Kentucky, the limit is $726,200 in 2024. Borrowing above this limit typically requires a down payment.

Appraisal requirements for a VA loan in Kentucky

A VA appraisal is necessary to ensure the property meets minimum property requirements (MPRs) and is worth the purchase price. This appraisal includes an evaluation of the home’s condition and ensures it’s safe, sound, and sanitary. It is ordered through the VA portal by the lender doing your loan and it currently costs $605 in Kentucky for a va appraisal in KY. They will email or mail you a copy of your appraisal report and issue NOV on the report, which is a Notice of Value.

Termite Inspection for Kentucky VA loans

In Kentucky, a termite inspection is mandatory for Kentucky approval for VA loans. The inspection report must confirm that the property is free from active termite infestation. This helps protect both the lender’s and the borrower’s interests.

Title Report for Kentucky VA loans

A clear title report is required to confirm that there are no legal issues with the property’s ownership. The title company will conduct a thorough search to ensure there are no liens, claims, or disputes that could affect your ownership.

Closing the Loan in Kentucky For A VA loan.

The final step involves closing the loan, which includes signing the necessary paperwork and paying closing costs. These costs can include the VA funding fee, loan origination fees, and other related expenses. Once the loan is closed, you’ll receive the keys to your new home.

Summary

Obtaining a VA home mortgage loan in Kentucky involves several key steps:

1. Check your credit score and work on improving it if necessary.
2. Calculate your debt-to-income ratio to ensure it meets the VA’s guidelines.
3. Ensure a stable work history of at least two years.
4. Address any past bankruptcies or foreclosures, adhering to the required waiting periods.
5. Verify your income to demonstrate your ability to make mortgage payments and meet the requirements for residual income and dti ratios
6. Understand the funding fees and how they apply to your situation.
7. Be aware of the Kentucky VA loan limits and plan accordingly if you need to borrow above these limits.
8. Prepare for the appraisal and termite inspection to ensure the property meets VA standards.
9. Secure a clear title report to avoid any legal issues.
10. Close the loan, paying any necessary closing costs and finalizing the purchase.

By following these steps, Kentucky veterans can navigate the VA loan process efficiently and secure their dream home with favorable terms.

Joel Lobb  Mortgage Loan Officer

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

Text/call: 502-905-3708

email: kentuckyloan@gmail.com

http://www.mylouisvillekentuckymortgage.com/

NMLS 57916  | Company NMLS #1364/MB73346135166/MBR1574

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 view of my employer. Not all products or services mentioned on this site may fit all people.
NMLS ID# 57916, (www.nmlsconsumeraccess.org).

Louisville Kentucky Mortgage Lender VA Home Loans

Louisville Kentucky VA Home Loan Mortgage Lender: How to Get Approved for a Kentucky VA Home Mortgag...

Louisville Kentucky VA Home Loan Mortgage Lender: How to Get Approved for a Kentucky VA Home Mortgag...: Basic Understanding of a Kentucky VA Mortgage Loan Approval Process. The VA makes a guarantee to the lending institution (the insurance)-for...

Basic Understanding of a Kentucky VA Mortgage Loan Approval Process.

The VA makes a guarantee to the lending institution (the

insurance)-for 25% of the loan amount (from a lenders

perspective the effective LTV is 75%).

Because the risk to the bank is reduced, the bank can provide

more affordable loans to the Veteran:

• Eliminating the need for a down payment (100% Mortgage)

• Provides the Veterans favorable interest rates

• Eliminating Mortgage Insurance (NO PMI)

Crushing the Myths of the VA Loan

• VA Mortgage Benefits do not expire.

• You can use your VA benefits as many times as you wish.

• You can have more than 1 at a time. (See occupancy rules)

• There is no limit to the size of a VA loan. (There is a county

loan limit, but veterans can purchase above the county loan

limit with a 25% down payment)

• Credit and risk is reviewed differently by each bank

and lender.

• Even with a foreclosure or short sale, the veteran may still be

able to buy a house with a VA loan. (See burnt entitlement,

veteran might have reduced buying power, but can still

use the VA loan). The VA understands that bad things can

happen to good people.

• VA Appraisals are significantly different than they use to be.

What military documents would I need
to have in order to get a VA mortgage?

I don’t know if I still have my documents from when I

served. How can I retrieve them?

There are three websites that should be able to help you, they are:

vetrecs.archives.gov

archives.gov/veterans/military-service-records/

ebenefits.va.gov

*If you have difficulty retrieving information from any of these sites,

the local recruiting office for your branch would be able to assist.

I have my discharge paperwork, but would like help

obtaining my Certificate of Eligibility

Contact your lender.

I served, but it was a very long time ago. Do my VA
benefits for a mortgage expire?

No, VA Home Loan benefits never expire. You can use your

VA benefit as long as you’re alive.

I used my VA mortgage along time ago to buy a
home. That means I can’t use it again, right?

The VA Mortgage can be used several times over. If the previous

home was sold, your entitlement should be fully reinstated.

What is the minimum credit score to obtain
a VA mortgage?

The VA does not have a minimum credit score, but lenders will

have their own internal overlay. If your score is greater than 580,

you are likely a candidate for the VA mortgage.

Can I use the VA loan to buy a condo?

You can, with the same terms as buying a detached single family

residence. However, we do have to see if the condo association

is VA approved. Check this website:

vip.vba.va.gov/portal/VBAH/VBAHome/condopudsearch

I relocated here and have a home in my hometown. I

kept the home and it has a VA mortgage on it now.

Can I get another VA mortgage?

You can get another VA Mortgage. Mortgage

will calculate your remaining entitlement to compute your

maximum loan amount with no money down and/or what

you would have to put down if you exceed the remaining

entitlement.

Can I build a home with a VA Home Loan?

Yes, but there are several clauses that may make this difficult

to accomplish. Many veterans use their VA Home Loan

Certificate of Eligibility to negotiate in good faith a private home

construction loan and then refinance the completed home using

VA Home Loans.

I heard the VA Mortgage was more expensive than
other mortgage types. Is that true?

There is a mandatory funding fee on all VA mortgages (unless

the borrowing veteran is receiving a VA related disability, then

the funding fee is waived). The funding fee is built over and

above the loan amount and the fees are as below.

It's Military May, and that means Permanent Change of Station (PCS) season for military families is upon us. However, some brokers will miss out on opportunities to help more Veterans due to a few commonly held misconceptions regarding Kentucky VA loans. Separating fact from fiction can make all the difference this season for your business. Here are a few myths around Kentucky VA loans: Myth: Kentucky VA Loans Are Credit Risks Reality: Kentucky Veterans and military members tend to have higher credit scores and savings. Myth: The Seller Pays the Closing Costs Reality: In a well-structured Kentucky  VA loan, the benefits include no down payment and ideally no closing costs to the seller. Myth: There Is a Maximum VA Loan Amount   Reality: There has never been a maximum Kentucky  VA loan amount, though it's often confused with maximum VA loan guarantee. Myth: VA Loans Are Complicated With Many Restrictions Reality: The expertise of our Kentucky VA lending team makes the process simple so you can focus on your borrower.

Kentucky First Time Home Buyer Programs

Louisville Kentucky Mortgage Lender for FHA, VA, KHC, USDA and Rural Housing Kentucky Mortgages: Kentucky First Time Home Buyer Programs For Home M...: 

Kentucky first-time homebuyer programs KHC  Regular Down Payment Assistance :  Receive a loan of up to $6,000 and repay it over 10 years at ...

How To Buy A Kentucky Home With No Money Down

These loans are through a federal government-backed loan program. Eligible homebuyers in Kentucky  can use the following loan programs without having to put money down.

Kentucky USDA Home Loan

A U.S. Department of Agriculture (USDA) home loan is also known as a Rural Housing Loan. While it typically applies to those who live in rural areas, the program is also available to low-to-moderate-income households in some less-populated suburban areas within or near major cities. With this loan, there is no down payment required and no set maximum home purchase price. Additionally, homeowners may have the option to include home repair costs in the loan.

To apply for a USDA home loan, applicants must meet the following requirements:

• The gross total of a household's income cannot exceed 115 percent of the county's average income.
• A homebuyer's debt-to-income ratio cannot exceed 45 percent.
• The location of a homebuyer's potential home must be in an area deemed eligible according to the USDA's eligibility map.
• The home must be a primary residence.

Kentucky VA Home Loan

A Kentucky VA home loan is backed by the U.S. Department of Veteran Affairs and is set aside for active-duty military members, veterans and their family members. This loan allows homebuyers to pay a one-time-only funding fee of 2.3 percent of the loan value instead of purchasing mortgage insurance. For every use of a VA loan thereafter, the required funding fee without a down payment is 3.6 percent.
To qualify for a VA home loan, homebuyers must meet at least one of the following requirements:

• Served 90 days of consecutive service during wartime.
• Served 181 days of consecutive service during peacetime.
• Is the widow of a qualifying service member.
• Served in the National Guard or Reserves for more than six years.

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What is a Kentucky USDA Loan?

The U.S. Department of Agriculture offers a 100% financing mortgage. The program is also technically called a Section 502 mortgage, however, it’s more commonly known as ’Rural Housing Loan’ or a ’USDA loan.’

Despite the term “rural loan“ the USDA loan program is also available to low-to-moderate income homebuyers in less-populated suburbs of some major U.S. cities suburban areas.

Some key benefits of the USDA loan include:

• No down payment requirement
• No maximum home purchase price 
• Eligible home repairs and improvements may be included in your loan amount
• Upfront guarantee fee can be added to the loan balance at closing; mortgage insurance is collected monthly

 

USDA Home Loan Requirements

To be eligible for many USDA loans, household income must meet certain guidelines. Also, the home to be purchased must be in an eligible rural area as defined by USDA. According to the USDA website applicants interested in obtaining a direct loan must have an adjusted income that is at or below the applicable low-income limit for the area where they wish to buy a house as well as demonstrate a willingness and ability to repay debt. (Note: household income includes the income of all adult household members.)

Additional eligibility requirements can be found at the USDA Income and Property Eligibility website.

USDA mortgage rates are often lower than rates for comparable, low- or no-down-payment mortgages. For qualified applicants, financing a home via the USDA can be the lowest-cost path to homeownership.

 

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 What is a VA Loan?

A VA loan is a loan guaranteed by the United States Department of Veteran Affairs. Designed for active-duty military, Veterans, and their families, this loan requires zero money down. While standard mortgage insurance is not required, the Funding Fee is specific to VA loans and is paid upfront. For purchase loans, the one-time fee usually ranges from 1.4% to 2.6% of the loan amount, depending on the loan down payment.  

The VA is technically not a mortgage lender as private lenders originate the loan, and the VA guarantees a portion of it. No down payment is required if the sales price isn’t higher than the properties appraised value.

Although VA loans are credit flexible, applicants must have a stable income, and a steady job, however, a Veteran may be retired to qualify. All applicants must also meet some basic military service requirements.

 

VA Loan Requirements

Here are a few of the requirements listed by the U.S. Department of Veterans Affairs.  

• Served 90 consecutive days of active service during wartime (or less if you were discharged for a service-connected disability.
• Served 181 days of active service during peacetime
• Served more than six years with the National Guard or Reserves (or 90 days under Title 32 with at least 30 of those days being consecutive)

There are also VA loan programs for surviving spouses of a service member who died in the line of duty or from a service-related disability.

For the lender to make a VA-backed loan you must provide proof that you meet the eligibility requirements. A Certificate of Eligibility, or (COE,) serves as that proof. Your COE will have the entitlement amount on it so the lender knows exactly how much the VA will give them if you were to default. Detailed information on how to obtain a COE for a loan can be found on the VA website.

 

Kentucky FHA Loan Down Payment

Benefits of the Kentucky FHA Home Loan:

• • Low down payment requirement (as low as 3.5% for 580 score )
  • Flexibility on debt-to-income ratio up to 56.9%
  • Qualify with less-than-perfect credit with a 500 credit score with 10% down and 580 credit score with 3.5% down payment
  • Down payment funds can be gifted, grants, down payment assistance from approved funds
  • Purchase or refinance loan options available

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Joel Lobb
Mortgage Loan Officer

Individual NMLS ID #57916

American Mortgage Solutions, Inc.

10602 Timberwood Circle 

Louisville, KY 40223

Company NMLS ID #1364

click here for directions to our office

Text/call:      502-905-3708

fax:            502-327-9119
email:          kentuckyloan@gmail.com

https://www.mylouisvillekentuckymortgage.com/

 

Kentucky Mortgage Forbearance Guidelines for Fannie Mae, FHA ,USDA and VA loans with Covid-19

Conventional Mortgage Loans by Fannie Mae

Mortgage credit history for any mortgage which the borrower is obligated as borrower, co-borrower, or co-signer may be

considered acceptable if it meets one of the following:

 The borrower has made all payments due on time, prior to subject loan Note date, even though the loan was in

forbearance, or

 The borrower has not made one or more payments due, and the late payments or forbearance has been resolved

per one of these acceptable resolution plans:

Resolution Plans* Eligibility Requirements

Reinstatement ▪ Any missed payments must be made

▪ Funds to reinstate after application must be documented from eligible source

▪ Funds from the current transaction may not be used to reinstate mortgage

Repayment Plan ▪ Must have made 3 timely** payments under the repayment plan, or

▪ Repayment plan has been completed

▪ Funds from the current transaction may satisfy the existing mortgage in full

Payment Deferral ▪ Must have made 3 timely** payments after executing the deferral agreement

▪ Funds from the current transaction may satisfy the existing mortgage in full

Modification ▪ Must have made 3 timely** payments under trial modification

▪ Funds from the current transaction may satisfy the existing mortgage in full

Any Other Loss Mitigation Option ▪ Must have completed successfully or made a minimum of 3 timely payments

▪ Funds from the current transaction may satisfy the existing mortgage in full

*If loan was in forbearance, provide documentation from servicer showing the exit from forbearance into one of the

acceptable resolution plans.

** Payments cannot be made in advance to meet the 3 required payments.

 For purposes of determining acceptable mortgage payment history, missed payments under a COVID-19 forbearance

are not considered late payments.

 The above guidance does not apply to Freddie Mac Enhanced Refinance or Fannie Mae High LTV Refinance

transactions.

Fannie Mae FAQs: https://singlefamily.fanniemae.com/media/22326/display

Freddie Mac Bulletin 2020-17: https://guide.freddiemac.com/app/guide/bulletin/2020-17

Freddie Mac FAQs: https://sf.freddiemac.com/general/covid-19-selling-faq

VA ELIGIBILITY

 Borrowers must provide a Letter of Explanation (LOE) stating the circumstances behind the forbearance.

Documentation will be required to verify the items listed in the LOE have been resolved.

 If the forbearance was on a non-subject property, the forbearance must be resolved, and new payment (if

applicable) must be included in the DTI.

 A Veteran who was granted a forbearance and continues to make payments as agreed under the terms of original

note is not considered delinquent or late and will be treated as if not in forbearance status, provided that the

forbearance plan is terminated prior to closing.

Cash-Out Refinances

 Refinance of mortgages that are in a current forbearance status, where mortgage payments are not being made,

including mortgages under the CARES Act forbearance protection program, are not eligible. The forbearance plan

must be completed/terminated prior to closing.

 Borrower in forbearance with missed payments- Borrower must have made 6 consecutive months’ timely payments

post-forbearance, regardless of method of resolution of the forbearance.

 Missed payments due to COVID-19 forbearance cannot count toward seasoning. Borrower must have made six

consecutive monthly payments prior to the CARES Act forbearance or six consecutive payments will be required post

forbearance. In addition, loans that have been modified must meet seasoning requirements based on the modified

note first payment date. The new note date must be on or after the later of: The date that is 210 days after the date

on which the first modified monthly payment was due on the mortgage being refinanced, and the date on which 6

modified payments have been made on the mortgage being refinanced.

IRRRL Refinances

 Borrowers must be current at time of application (any skipped payments under a COVID-19 forbearance have since

been made).

 Borrower in forbearance with no missed payments- standard underwriting applies.

 Borrower in forbearance with missed payments- Borrower must have made 6 consecutive months’ timely payments

post-forbearance.

 Loans must still meet loan seasoning, fee recoupment, discount points, and net tangible benefit requirements.

 Missed payments due to COVID-19 forbearance cannot count toward seasoning. Borrower must have made six

consecutive monthly payments prior to the CARES Act forbearance or will need to make six consecutive payments

post forbearance. In addition, loans that have been modified must meet seasoning requirements based on the

modified note first payment date. The new note date must be on or after the later of: The date that is 210 days after

the date on which the first modified monthly payment was due on the mortgage being refinanced, and the date on

which 6 modified payments have been made on the mortgage being refinanced.

References VA Circular 26-20-25: https://www.benefits.va.gov/HOMELOANS/documents/circulars/26-20-25.pdf

FHA ELIGIBILITY

*NOTE: FHA Guidance is permanent, not temporary, and applies where a Forbearance Plan was granted due to COVID-19, Presidentially Declared major

disaster or other hardship. This new guidance has been included in the updated 4000.1 Handbook.

Payment

History

Documentation

When any mortgage reflects payments under a Modification or Forbearance Plan within 12 months prior to case number

assignment, obtain:

 Copy of Modification or Forbearance Plan* and

 Evidence the payment amount and the date of payments during the agreement

* A copy of Forbearance Plan due to the COVID-19 National Emergency is not required. Must be able to determine the reason for

forbearance.

Borrowers that are or were in Forbearance

Maximum base loan amount for a Streamline of an owner-occupied primary residence and HUD-approved second home is

the lesser of:

 The outstanding principal balance of the existing mortgage (including suspended payments from forbearance) as of

the month prior to mortgage disbursement; plus:

o Interest due on the existing mortgage

o Late charges and escrow shortages

o MIP due on existing mortgage; or

 The original principal balance of the existing mortgage (including financed UFMIP)

 Less any refund of UFMIP

New FHA Insured Mortgage Eligibility

 Any active forbearance plan must be terminated.

 Borrowers granted forbearance but who continued to make all payments as agreed under the terms of original Note

are not considered delinquent. No additional payment seasoning post forbearance required.

 Borrowers granted forbearance but who did not continue to make payments require additional mortgage payment

seasoning post-forbearance that document satisfactory, consecutive monthly payments. See chart below for details:

Transaction Additional Requirements

Purchase Must make three consecutive payments* post-forbearance or

▪ If home sold prior to making three payments, must be manually underwritten

Cash-Out Refinance Must make 12 consecutive payments* post-forbearance

GNMA Seasoning: Loans that have been modified must meet seasoning

requirements based on the modified note first payment date.

No Cash Out Refinance Must make three consecutive payments* post-forbearance (six payments if

mortgage was modified after forbearance)

Simple Refinance Must make three consecutive payments* post-forbearance

*NOTE: The consecutive payments must be documented on the credit report and read by AUS to follow AUS approval.

Streamline Refinance  Missed payments under forbearance do not count toward mortgage

seasoning requirements

 If mortgage modified after forbearance, six payments under

modification required.

Non-Credit Qualifying

 At time of case number assignment, borrower has made three post

forbearance payments.

Credit Qualifying

 At time of case number assignment, borrower is still in mortgage

payment forbearance or has made less than three monthly payments,

and

 Has made all mortgage payments due within the month due for the six

months prior to forbearance

***ALL Streamlines: GNMA Seasoning: Loans that have been modified must

meet seasoning requirements based on the modified note first payment date.

References FHA Mortgagee Letter 2020-30:

  https://www.hud.gov/sites/dfiles/OCHCO/documents/2020-30hsgml.pdf

USDA ELIGIBILITY

 For each open mortgage, confirm the forbearance status and payment history.

 Borrowers who have a current mortgage that was placed in COVID-19 forbearance, but continued to make all

payments as scheduled, are not subject to additional seasoning.

 Purchases: Borrowers who missed any payments as allowed under the forbearance plan must have resumed

repayment of their mortgage loan for a period of at least 3 months prior to applying for a new loan.

 Refinances: the loan must have closed at least 12 months prior to the request to refinance, borrower must have

resumed making payments for a period of at least 3 months and have a total 180-day period of satisfactory

payments, excluding the time the loan was in forbearance.

References SFHGLP FAQs: https://www.rd.usda.gov/sites/default/files/RD-GRH-OriginationServicingFAQs.pdf

LOANS MADE TO BORROWERS POST-FORBEARANCE

The guidance herein is based on Agency and Investor eligibility. The below is a summary and not all-inclusive of Agency announcements. For full

Agency guidance see the Resources section under each program section below.

IN ALL CASES THE FOLLOWING REQUIREMENTS APPLY:

 BORROWER MAY NOT BE IN FORBEARANCE ON THE SUBJECT PROPERTY MORTGAGE OR ANY OTHER NON-SUBJECT PROPERTY

MORTGAGES AT THE TIME OF LOAN CLOSING.

 Explanation from Borrower(s) for forbearance reason and how any hardship has been overcome is required. If borrower faced hardship,

documentation supporting resolution is required. (e.g. borrower was furloughed for a time and is now back to work and employer

documentation supports).

 Payment history required for most recent 12-months to see payment made dates to determine if borrower skipped any payments.

 Documentation from servicer that forbearance has ended.

 Asset sourcing to document funds for any lump-sum payments made to reinstate/bring mortgage current- 2 months consecutive

statements required.

 If borrower entered into modification/work out plan rather than reinstating the forbearance, a copy of plan must be obtained. See

applicable Agency guidance for eligibility in this case.

Joel Lobb
Mortgage Loan Officer

Individual NMLS ID #57916

American Mortgage Solutions, Inc.

10602 Timberwood Circle 

Louisville, KY 40223

Company NMLS ID #1364

click here for directions to our office

Text/call:      502-905-3708

fax:            502-327-9119
email:          kentuckyloan@gmail.com

https://www.mylouisvillekentuckymortgage.com/

 

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Louisville Kentucky VA Home Loan Mortgage Lender: Benefits and Drawbacks of Kentucky VA Mortgage Loans

Louisville Kentucky VA Home Loan Mortgage Lender: Benefits and Drawbacks of Kentucky VA Mortgage Loans: Kentucky VA Mortgage  Loans Why VA Loans? First and foremost, VA loans put homeownership within reach of a wider population. That’s because,...

Things to Avoid On Your Kentucky Mortgage Loan Pre-Approval.

It's important that you avoid these mortgage mistakes once you get pre-approved for your Kentucky Mortgage Loan!


Once you've found your home, talked to a lender and signed a contract, don't do anything to jeopardize your approval before the closing date!

Here are some do's and don'ts to keep your Kentucky Home loan on track.

Do keep cash in the bank so that your financial picture looks as strong as possible.
Do establish good credit by making payments on time and making sure you don't overdraw your account!
Don't move large sums of money around without documentation. This can raise unnecessary red flags.
Don't open or close credit cards. This could potentially hurt your FICO score.
Don't make any major purchases - especially on credit cards.
Don't change your job. If possible, stay in your current job until all approvals are final.
Something to keep in mind. Your credit report is usually good for 120 days on government agency loans through AUS findings for FHA, VA, USDA and Fannie Mae Conventional loans in Kentucky.

Some lenders will not honor that, and create an overlay to say your credit report is only good for 60 days, and they will repull your credit, so it does vary from lender to lender on loan pre-approvals.

Keep your loan officer on any changes in income, assets that may hurt your loan pre-approval because sometimes depending on your loan pre-approval it could jeopardize your loan pre-approval

They will want updated pay-stubs, banks statements once your loan is pre-approved, so try to keep working 40+ hours a week, keep all bank statements in good standing with no nsf fees or overdraft charges and keep everything as status quo as you can.

Lastly, make sure if a debt that is not listed on the credit report you tell your loan officer so they can plug this into your debt to income ratio.

Most of the time the loan officer will go over your last 120 days inquires on the credit report to see if any debts are missing on the application or credit report.










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/
-- Some products and services may not be available in all states. Credit and collateral are subject to approval. Terms and conditions apply. This is not a commitment to lend. Programs, rates, terms and conditions are subject to change without notice. The content in this marketing advertisement has not been approved, reviewed, sponsored or endorsed by any department or government agency. Rates are subject to change and are subject to borrower(s) qualification.