Friday, August 9, 2013

.Kentucky USDA and Rural Housing Loan Eligibility Requirements now include a higher credit score if you exceed the USDA Home Loan debt to income ratios of 29% and 41%

Kentucky USDA and Rural Housing Loan Eligibility Requirements now include a higher credit score if you exceed the USDA Home Loan debt to income ratios of 29% and 41% .  If the home buyer has ratios above either of those numbers, they must have a minimum credit score of 660



Kentucky USDA and Rural Housing Eligibility Requirements now include a higher credit score if you exceed the USDA Home Loan debt to income ratios of 29% and 41% .  If the home buyer has ratios above either of those numbers, they must have a minimum credit score of 660

With the change, Kentucky USDA Home Loans Eligibility requirements now include a higher credit score if you exceed the USDA Home Loan debt to income ratios of 29% and 41% .  If the home buyer has ratios above either of those numbers, they must have a minimum credit score of 660.

Under the new Kentucky Rural USDA Home Loan Requirements  if you have a middle credit score of 640 or less, the debt to income ratios of 29/41 can not be exceeded.  With a 660 middle credit score – we can do a manual underwrite, and request a ratio waiver ONLY IF the PITI ratio is between 29 and 32 percent OR the total debt ratio is between 41 and 45 percent.
In the past, as long as we were in the back end ratio “range” of 46 to 48 percent, and the credit score was over 640 – we could get an acceptable loan approved by GUS.  Now, you MUST be tightly within the debt to income ratios of EITHER the front end, OR the back end.  You can not be out of “tolerance” for BOTH debt to income ratios and expect to receive a ratio waiver.
Joel Lobb (NMLS#57916)
Senior  Loan Officer
502-905-3708 cell
502-813-2795 fax
kentuckyloan@gmail.com

Key Financial Mortgage Co. (NMLS #1800)*
107 South Hurstbourne Parkway*

Louisville, KY 40222*