Kentucky Mortgage Loans

Griffin Funding provides financing services to customers all across the great state of Kentucky. We are a proud mortgage lender in Louisville, KY, as well as any other city or town within state lines, no matter how big or small. Here’s an example of just some of the areas we cover:

• Louisville
• Bowling Green
• Lexington
• Covington
• Elizabethtown
• Owensboro
• Richmond
• Frankfort
• Radcliff
• Independence
• Murray

Griffin Funding offers a number of unique Kentucky mortgage loans that cater to a wide variety of home buyers. Whether you are a first-time home buyer in KY, are a veteran looking to reap the benefits of homeownership, or are just looking for the most competitive Kentucky mortgage rate, we may have a program that fits your specific needs. Here are some of the popular home loans we offer:

• VA Loans: These loans, available to current armed-forces members and veterans, offer very competitive rates and no down payment requirements.
• Bank Statement Loans: For those with non-traditional income, or who struggle to get approved for conventional loans, bank statement loans offer an opportunity to qualify based on just your personal or business bank statements.
• DSCR Loans: Debt service coverage ratio (DSCR) loans will qualify the applicant based on a property’s rental income potential instead of personal income. DSCR loans are a popular option for those getting into commercial real estate financing.
• Conventional Loans: Conventional home loans typically offer some of the most competitive Kentucky mortgage rates available, however they can be difficult to qualify for and may require a sizable down payment.
• Asset-based Loans: For those with formidable investment accounts, savings, or retirement portfolios, asset-based loans will allow you to qualify based on those metrics instead of the usual personal income and tax returns.
• USDA Loans: If you’re considered a low-income buyer and are purchasing property in a rural area, loans backed by the US Department of Agriculture (USDA) offer low rates and no down payment requirements.
• ITIN Loans: ITIN loans allow foreign nationals and those without a Social Security number to secure a mortgage using their Individual Taxpayer Identification Number.
• FHA Loans: Commonly presented as a mortgage for first-time home buyers, FHA loans can be beneficial for almost any borrower with a less than ideal financial profile who wants to get a competitive rate on their mortgage.
• Home Equity Loans: Pull cash out of your home with a home equity loan. You can use the funds from a HELOAN for all kinds of expenses, from renovations to debt consolidation to paying for college.

While there are several Kentucky mortgage loan programs to fit a variety of buyers, it’s important to understand mortgage requirements so that you know what you’ll qualify for. Here are some of the most important metrics that lenders use to approve you for a mortgage loan in Kentucky:

• Credit score: Credit score is a major factor when applying for a mortgage in Kentucky. Most lenders require a minimum credit score of 600 for most loan types. The higher the credit score, the lower your rate will usually be.
• DTI ratio: Debt-to-Income (DTI) ratio is a percentage derived from dividing any debts you are paying on by your total monthly income. A lower DTI is always more favorable, and lenders generally prefer a DTI of no higher than 43%.
• Income: When applying for a Kentucky mortgage, you’ll need to show reliable income in some form. Conventional loans utilize pay stubs and tax returns; other loans may qualify based on bank statements, rental property income, or other non-standard proof.
• Down payment amount: With conventional mortgage loans in Kentucky, you can expect a down payment of around 3% to 20%. If you qualify for a VA loan or USDA loan, you may be able to substantially lessen or completely eliminate the need for a down payment.

What credit score is needed to buy a house in Kentucky?

The credit score you need to buy a home in Kentucky depends on a number of factors. For instance, the type of loan you choose will impact the minimum credit score you must meet. While conventional loans tend to have high credit score requirements, mortgages like FHA loans have lower credit requirements.

When applying for a mortgage, you should aim to have a credit score of at least 600. But keep in mind that your credit score is only one factor that determines your eligibility. If you have an otherwise excellent financial profile, then lenders may be more flexible when it comes to your credit score.

To get the lowest Kentucky mortgage rates available, you should begin preparing several months before actually applying. Download the Griffin Gold app to begin monitoring your credit, learning about mortgage loan types, and building a plan of action.

When you are ready to apply, here are some quick tips to ensure you’re setting yourself up for success:

• Choose the right loan type: Check to see if you qualify for any government-subsidized mortgage loans like USDA loans or VA loans, which may offer no down payment requirements and low rates. Also, try playing to your strengths when choosing which loan type. Non-QM mortgages can cater to those with non-traditional income and investments.
• Pay down debt: The lower you can get your DTI ratio prior to applying, the more likely you are to secure a lower rate and more competitive terms
• Make a larger down payment: If you have enough cash saved away, consider making a larger down payment that could result in a lower rate and/or lower monthly payments.
• Improve your FICO score: Obtain your credit report from all three bureaus, and work to pay off any collections or late bills, pay down credit card balances, and dispute any erroneous items.
• Work with the right lender: Shop around for lenders that have competitive rates, excellent customer service, and financing options that align with your preferences. Griffin Funding is proud to offer its expert knowledge of Kentucky mortgage loans to its customers.

Whether you are a first-time home buyer in Kentucky or a real estate investor in search of an investment mortgage in Louisville, KY, we have you covered. Griffin Funding has the knowledge and experience to find a competitive mortgage loan program that best fits your needs and credit profile. Contact us to learn more about your financing options or get started by filling out an online application today.