Kentucky Mortgage Rates
February 14, 2016 03:56 PM Eastern
If you want to buy or refinance your "old Kentucky home," you've come to the right place. LendingTree lenders are ready to provide mortgage quotes and help you save money. In Kentucky the Department of Financial Institutions regulates mortgage lenders.
Kentucky Mortgage Rates
Rates vary from state to state based on the economy of each, their different lending laws and the degree of competition among lenders who are offering rates that can attract potential borrowers in that area.
Here is a sampling of current Kentucky mortgage rates:
Buying a Home in Kentucky
In some states investing in the housing market is like putting your money on the wrong horse in the Kentucky Derby -- but not so in Kentucky. Housing prices have held up through the long stretch of the economic downturn. Home prices in Kentucky fell only two percent from their peak in the first quarter of 2009 through 2012. They are forecast to rise another one-to-two percent during the next twelve months.
Houses are generally affordable -- in Kentucky counties, between 79 and 87 percent of homes are affordable to those earning the median household income.
When you are calculating how much money you need to buy the house, do not forget to include closing costs, which in Kentucky are reasonable—only $2,381 for a $200,000 mortgage. Kentucky ranks 28th for all states and the District of Columbia.
For additional assistance buying a home in Kentucky, there are numerous state and local programs, some of which are included in the list below:
- HUD Community Development Block Grants (CDBG) - Kentucky contacts - HUD provides grant money to communities and those funds may be used to assist homebuyers
- Community Ventures Corporation Kentucky Home Financing
- Habitat for Humanity - Through volunteer labor and donations of money and materials, Habitat builds and rehabilitates simple, decent houses with the help of the homeowner (partner) families
- Federal Home Loan Bank of Cincinnati - serves Kentucky residents by offering various home buying programs
- Federal Appalachian Housing Enterprise (FAHE) - provides housing assistance in rural, low-income, Appalachian communities
- You can find additional home buying assistance programs on the HUD portal website.
Many LendingTree mortgage lenders offer FHA home loans with down payments as low as 3.5 percent. While FHA limits loan amounts in most Kentucky counties to $271,050, some of the counties bordering Cincinnati, Ohio—Boone, Bracken, Campbell, Gallatin and Grant—allow FHA borrowing limits up to $337,500. And the limit for Bullitt County in the Louisville metropolitan area is $302,500.
VA Home Loans
The VA does not limit mortgage amounts under its program. However, most lenders do. In all Kentucky counties, most lenders cap 100 percent VA loans at $417,000.