Kentucky Rural Housing USDA Loans


via Kentucky Rural Housing USDA Loans

 

Here are the important points about Kentucky USDA Rural Housing Loans:
  • USDA loan are only available in certain counties of Kentucky.
  • There are two types of USDA loans available: Direct and Guaranteed.
  • 100% financing. No down payment
  • USDA will go down to 620-640 score range and uses and  automated underwriting pre-approval system called GUS-Guarantee Underwriting System. The GUS findings will dictate your loan pre-approval.
  • Income limits based on county and number of people in household.
  • Must be 3 years removed from bankruptcy and foreclosure
  • No purchase price limit
  • Upfront funding fee of 1% of loan amount paid to RD at closing
  • Annual mi fee of ..35% paid each month for life of loan.
  • Takes on average 30-45 days to close.
  • 30 year fixed rate is the only term available and rates are usually comparable to FHA and VA government mortgage insured rates.
  • Do not have to be a first time home buyer and can currently own another home if USDA deems the current living situation not suitable.
  • Appraisal has to meet FHA minimum standards
  • You can buy a home with land on USDA Loans as long as the property does not have any agricultural characteristics or income producing capabilities.
  • There is no set max acreage but the appraisal will dictate approval of property by USDA.
  • You can only use USDA loans to purchase property or refinance an existing USDA loan

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http://www.emailmeform.com/builder/form/0bfJs9b6bK8TGoc6mQk9hIu
 
Joel Lobb (NMLS#57916)
Senior  Loan Officer
 
American Mortgage Solutions, Inc.
Company ID #1364 | MB73346
 


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

http://www.nmlsconsumeraccess.org/
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#57916 http://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.
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100% Financing for Kentucky Rural Home Buyers


100% Financing for Kentucky Rural Home Buyers
100% financing, no down payment is required. Fixed 30 Year Rates for Kentucky Rural Home Buyers
100% financing, no down payment is required. Fixed 30 Year Rates for Kentucky Rural Home Buyers
  • 100% financing, no down payment is required. Fixed 30 Year Rates for Ky Rural USDA Home Buyers
  • Qualifying ratios are 29% for housing costs and 41% for total debt. Borrowers may request an exception to exceed these ratios when strong compensating factors are identified.
  • No Max. Purchase Price.
  • Gift/Grant or Seller Concessions are allowed.
  • Not limited to first time home buyers.
  • Income Restrictions Apply see link below
  • http://eligibility.sc.egov.usda.gov/eligibility/incomeEligibilityAction.do
  • Property location must be in rural housing designated area. see link below http://eligibility.sc.egov.usda.gov/eligibility/welcomeAction.do
  • Seller Concessions up to 6% allowed
  • 640 minimum middle credit score
Joel Lobb
Senior  Loan Officer

(NMLS#57916)
Know Your Mortgage Options Before Buying Your First Home
 phone: (502) 905-3708
 Fax:     (502) 327-9119
 
 Company ID #1364 | MB73346

Refinance your Kentucky Mortgage Loan


If you are a homeowner who was lucky enough to buy when Kentucky mortgage rates were low, you may have no interest in refinancing your present loan. Perhaps you bought your home when rates were higher. Or perhaps you have an adjustable rate loan and would like to obtain different terms.

Should could you refinance your  Kentucky Mortgage Loan? This page will answer some questions that may help you decide. If you do refinance, the process will remind you of what you went through in obtaining the original mortgage. That’s because, in reality, refinancing a mortgage is simply taking out a new mortgage. You will encounter many of the same procedures and the same types of costs the second time around.

Would Refinancing your Kentucky Mortgage loan Be Worth It?

Refinancing can be worth while, but it does not make good financial sense for everyone. A general rule is that refinancing becomes worth your while if the current interest rate on your mortgage is at least two percentage points higher than the prevailing market rate. This figure is generally accepted as the safe margin when balancing the costs of refinancing a mortgage against the savings.

There are other considerations, too. Such as how long you plan to stay in the house. Most sources say it takes at least three years to realize fully the savings from a lower interest rate, given the costs of the refinancing. (Depending on your loan amount and the particular circumstances, however, you might choose to refinance a loan that is only 1.0 percentage points higher then the current rate. You may even find you could recoup the refinancing costs in a shorter time.)

Refinancing can be a good idea for homeowners who:

  • Want to take advantage of lower rates. This is a good idea only if you intend to stay in the house long enough to make the additional fees worthwhile.
  • Have an adjustable rate mortgage (ARM) and want a fixed-rate loan, to have the certainty of knowing exactly what the mortgage payment will be for the life of the loan.
  • Want to convert to an ARM with a lower interest rate or more protective features (such as a better rate and payment caps) than the ARM they currently have.
  • Want to build up equity more quickly by converting to a loan with a shorter term.
  • Want to draw on the equity built up in their house to get cash for a major purchase or for their children’s education.

If you decide that refinancing is not worth the costs, ask your lender whether you may be able to obtain all or some of the new terms you want by agreeing to a modification of your existing loan.

Should You Refinance Your  ARM?

In deciding whether to refinance an ARM you should consider these questions:

  • Is the next interest rate adjustment on your existing loan likely to increase your monthly payments substantially? Will the new interest rate be two or three percentage points higher than the prevailing rates being offered for either fixed-rate loans or other ARMs?
  • If the current mortgage sets a cap on your monthly payments, are those payments large enough to pay off your loan by the end of the original term? Will refinancing a new ARM or a fixed-rate enable you to pay your loan in full by the end of the term?

What Are The Costs of Refinancing?

The fees described below are the charges that you’ll most likely encounter in refinancing.

  • Title Search and Title Insurance
    This charge will cover the cost of examining the public record to confirm ownership of the property. It also covers the cost of a policy, usually issued by a title insurance company, that insures the policy holder in a specific amount for any loss caused by discrepancies in the title to the property. Be sure to ask the company carrying the present policy if it can re-issue your policy at a re-issue rate. You could save up to 70 percent of what it would cost you for a new policy.
  • Lender’s Attorney’s Review Fees
    The lender will usually charge you for fees paid to the lawyer or company that conducts the closing for the lender. Settlements are conducted by lending institutions, title insurance companies, escrow companies, real estate brokers, and attorneys for the buyer and seller. In most situations, the person conducting the settlement is providing a service to the lender. You may want to retain your own attorney to represent you at all stages of the transaction, including settlement.
  • Loan Origination Fees and Discount Points
    The origination fee is charged for the lender’s work in evaluating and preparing your mortgage loan. Discount points are prepaid finance charges imposed by the lender at closing to increase the lender’s yield beyond the stated interest rate on the mortgage note. One point equals one percent of the loan amount. For example, one point on a $100,000 loan would be $1,000. In some cases, the points you pay can be financed by adding them to the loan amount. The total number of points a lender charges will depend on market conditions and the interest rate to be charged.
  • Appraisal Fee
    This fee pays for an appraisal which is a supportable and defensible estimate or opinion of the value of the property.
  • Prepayment Penalty
    A prepayment penalty on your present mortgage could be the greatest determent to refinancing. The practice of charging money for an early pay-off of the existing mortgage loan varies be state, type of lender, and type of loan. Prepayment penalties are forbidden on various loans including loans from federally chartered credit unions, FHA and VA loans, and some other home-purchase loans. The mortgage documents for your existing loan will state if there is a penalty for prepayment. In some loans, you may be charged interest for the full month in which your prepay your loan.
  • Miscellaneous
    Depending on the type of loan you have and other factors, another major expense you might face is the fee for a VA loan guarantee, FHA mortgage insurance, or private mortgage insurance. There are a few other closing costs in addition to these.

In conclusion, a homeowner should plan on paying an average of 3 to 6 percent of the outstanding principal in refinancing costs, plus any prepayment penalties and costs of paying off any second mortgage that may exist. One way of saving on some of these costs is to check first with the lender who holds your current mortgage. The lender may be willing to waive some of them, especially if the work relating to the mortgage closing is still current. This could include the fees for the title search, surveys, inspections, and so on.

The information contained in this page is intended to help you ask the right questions when considering refinancing your loan. It is not a replacement for professional advice. Talk with mortgage lenders, real estate agents, attorneys, and other advisors about lending practices, mortgage instruments, and your own interests before you commit to any specific loan.

Refinancing Savings On A $100,000 Loan
Your Present Mortgage Rate Current Monthly Payment Monthly Payment Monthly Savings Annual Savings
@ 6.0%
@ 6.0%
@ 6.0%
10 $878 $600 $144 $1,728
9.5 $841 $600 $107 $1,284
9 $805 $600 $71 $852
8.5 $769 $600
8 $734 $600
7.5 $700 $600
7 $665 $600
6.5 $632 $600
6 $600 $600

NMLS# 57916

Call today for your Kentucky Mortgage Refinance Mortgage -502-905-3708