Real Estate agents think that this is a great time to buy with historically low home mortgage rates. Mortgage loan officers would tell you the same thing. However, some people have trouble qualifying for a loan and agents are always looking for alternatives.
KY Housing Corporation (KHC) is the state finance agency with very attractive rates. They are currently quoting rates well under 4% on a 30-year fixed rate loan. Rates such as these make it much cheaper to own a home or condo then rent an apartment.
They also have programs for down payment and closing cost assistance. There is usually a small premium to use their down payment assistance. KHC works with FHA, VA and RHS loans. They are not known as a sub-prime lender as they do insist on a good credit score and assurance that the borrower will pay back the loan.
KHC is able to use the New Issue Bond Program (NIBP) to get these great rates. The U.S. Department of Treasury provides these funds through a federal bond purchase program.
It is important to jump on these programs early. In the past, there has been a finite amount of money to loan on some of Kentucky Housing Corps special programs. As always, the early bird gets the worm.
Not all mortgage companies work with KHC, so it is best to check around and find a lender that knows how to use the Kentucky Housing program.
The Hollinden Team would advise you visit with a lender and see if you qualify for one of KHC’s loan programs. We stay in touch will the area's best lenders and keep up to date with the latest lender updates. Feel free to give The Hollinden Team a call and we will try to point you in the right direction. As always, The Hollinden Team is here to help you find your next home in Louisville, KY and the surrounding counties.
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