Kentucky Mortgage Loan Approval Guide for First‑Time Buyers (2025)

By Joel Lobb, Senior Loan Officer – NMLS #57916 • Equal Housing Lender

  1. Why Government‑Backed Loans Dominate KY
  2. 6‑Step Approval Roadmap
  3. KHC Down Payment Assistance
  4. FAQ
  5. Get Pre‑Approved Today

1 | Why Government‑Backed Loans Dominate Kentucky

Kentucky’s first‑time buyers lean on four powerhouse programs …

Loan Type Down Payment Min. Score* PMI / MIP Top Benefit
FHA 3.5 % (0 % w/ DAP) 580 (500 w/ 10 %) UFMIP + monthly Flexible credit / gifts
VA 0 % 620+ None* No PMI + reusable
USDA 0 % 640 / 620 manual Annual fee 100 % in “rural” zones
KHC + DAP 0–3 % 620 Follows 1st loan $10k toward down / costs

*Typical lender overlays; agency rules may differ.

2 | 6‑Step Approval Roadmap

Step 1 – Check Your Middle Credit Score

Order a tri‑merge report …

Step 2 – Pick Your Loan Path

  • <580 → 10 % down FHA or rapid re‑score plan
  • 580‑619 → FHA + KHC DAP for zero‑down
  • 620‑639 → USDA or VA (if eligible)
  • 640+ → full conventional & government menu

3 | Kentucky Housing Corporation (KHC) DAP Highlights

KHC’s popular **Down Payment Assistance Program** lends up to $10,000 …

🎯 Get Pre‑Approved in 24 Hours

Call/Text (502) 905‑3708 or click below to start your free application.

📝 Apply Online Now

4 | Frequently Asked Questions

What credit score do I need for an FHA loan?

580+ with 3.5 % down; 500‑579 requires 10 % down.

Does Kentucky really have $0‑down options?

Yes—VA and USDA offer 100 % financing. FHA can reach $0‑down when paired with KHC DAP.

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5 | Contact & Next Steps

Joel Lobb, Sr. Loan Officer | NMLS #57916
911 Barret Ave., Louisville, KY 40204
📞 (502) 905‑3708  |  ✉️ kentuckyloan@gmail.com

NMLS #57916 • Company NMLS #1364 • Equal Housing Lender
Subject to credit approval & property eligibility. Rates/terms may change without notice. Not a commitment to lend. Not endorsed by or affiliated with HUD, VA, USDA, or KHC. For licensing, visit www.nmlsconsumeraccess.org.

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