Kentucky VA Home Loans:
Eligibility, Getting Started and FAQs
Thanks to the VA Home Loan Program, those who qualify can buy a house without a down payment, low interest rates and low credit score options. Our specialists are trained on eligibility, requirements and even Kentucky’s state specific benefits. We strive to make the mortgage process simple and stress-free for you.
Many of our clients are surprised to find a 620 credit score is not required for a VA loan. At 1st United Mortgage, we can approve loans with a 560 credit score and we offer a credit score rehabilitation program.
VA Mortgage Options in Kentucky
As a reminder, the VA loan is only available as an earned benefit for military service and not available to everyone. Click here to see if you qualify.
For those not eligible for a VA loan, we also offer many other loan options, such as FHA & other conventional loan options.
Military in Kentucky
The military has always been well received in the state of Kentucky, despite only having 2 army bases there. With moderate weather and affordable housing cost of living, it’s also a great place to live and many military families choose to call Kentucky home.
Here is a list of some the communities we serve most often with VA loans. Click the name to learn more about the area.
Elizabethtown is both a growing community and cozy town. It has all the amenities of a large city but a quieter, more moderate pace of life. The quiet and charming town sits just south of Fort Knox as well, and many military families find themselves falling in love with the area.
Florence is a northern city in Kentucky that’s only minutes away from Cincinnati, Ohio. There are great neighborhoods to live in that offer low cost of living, lots of family support and plenty to do on the weekends.
VA Loan Eligibility
What is the VA Loan entitlement?
Am I eligible as a spouse of a deceased veteran?
VA loans are available to some non-military personnel, including both unmarried and remarried spouses. An unmarried spouse whose veteran died on active duty or because of a disability connected to his or her service is eligible for VA home loan benefits.
Surviving spouses who obtained a VA loan with the veteran before his or her death can also obtain a VA Interest Rate Reduction Refinance Loan, better known as a VA Streamline refinance. Surviving spouses who remarried upon or after turning age 57 and on or after December 16, 2003, may be eligible for a VA home loan. Surviving spouses who remarried before that date are no longer eligible to participate.
The spouse of an active duty member who is listed as missing in action (MIA) or a prisoner of war (POW) for at least 90 days is eligible for one-time use of the VA home loan benefit.
How can I get my Certificate of Eligibility?
A COE, or Certificate of Eligibility, is a formal VA document that certifies if a military member has entitlement for a VA home loan. It’s crucial to obtain the Certificate of Eligibility as part of the VA loan process. That’s because the COE is the only verifiable way to determine a veteran’s eligibility and entitlement.
Without a COE, prospective borrowers cannot complete the lending process. The Certificate of Eligibility can be obtained directly from the VA, but this approach takes a few weeks. 1st United Home Loans uses an automated system to get your Certificate of Eligibility in minutes, saving you even more time.
Who is eligible for the VA Loan?
There are basic eligibility requirements for veterans and service members, along with members of the Reserves, the National Guard and surviving spouses.
You May Be Eligible for a VA Loan If Any One of the Following are True:
• You served 181 days during peacetime (Active Duty)
• You served 90 days during war time (Active Duty)
• You served 6 years in the Reserves or National Guard
• You are the spouse of a service member who died in the line of duty or because of a service-connected disability.
Eligibility for a VA loan is verified via a Certificate of Eligibility, or COE. Veterans can obtain their Certificate of Eligibility directly from the VA, which typically takes a few weeks. 1st United Home Loans uses an automated system to get your Certificate of Eligibility in minutes.
It’s important to remember that not everyone eligible for a VA loan ultimately secures one. Prospective borrowers still have to satisfy credit and underwriting standards set by both the VA and the lender.
When purchasing a home, does the VA Loan allow for cash back options?
What is the difference between eligibility and prequalification?
How do basic and bonus entitlements work?
How do I restore my entitlement once I pay off my previous VA Loan?
What is 2nd Tier Entitlement?
Can I use the VA Loan for a second home or rental properties?
VA Loan Qualification
Who sets the VA Loan guidelines, the VA or my lender?
The VA simply establishes broad requirements and guidelines for military borrowers. They VA has no income requirements or credit requirements to participate in the VA Loan Guaranty program. Borrowers must simply represent a satisfactory credit risk.
However, VA lenders ultimately issue the loans. They have their own unique requirements, particularly around credit scores. Prospective borrowers have to satisfy both the VA and the agency’s approved lenders in order to secure home financing.
If I have bad credit, can I still get a VA Loan?
Can someone else sign on the loan with me?
What income can I use to qualify for a VA Loan?
VA-approved lenders have to make sure prospective borrowers have enough steady income to meet their monthly expenses, including a new mortgage payment. Lenders are generally looking for at least two years of stable employment and income from the same employer and job type. Reliable, documented income can be included from a host of sources, including:
• Base pay & allowances
• Non-military employment
• Retirement income
• Rental income
• A spouse’s income
• Alimony/child care
To count income from overtime work, part-time jobs, second jobs and bonuses, veterans need to show that same two-year period of stability. Veterans who are self-employed or who make a living in the building trades, doing seasonal work or working mostly on commission have some additional paperwork hurdles to face. Tax returns for the previous two years will be essential in verifying income.
How long do I have to wait after bankruptcy to get a VA Loan?
Rate And Loan Costs
What fees should I expect to pay for my VA Loan?
What is the VA Funding Fee, and how do I calculate it?
- Whether it’s a purchase or a refinance
- How many VA loans you’ve had in the past
- Type of military service
You can see the full breakdown and even calculate your exact fee by visiting VAFundingFee.com.
How are rates for VA Loans determined?
Does my credit score affect my VA Loan rate?
VA Loan Guidelines
Can I borrow more than the value of my home with a VA loan?
Can I have more than one VA loan at a time?
How complicated is VA financing?
When purchasing a home, does the VA Loan allow for cash back options?
What is the maximum VA Home Loan?
Can I borrow extra money to make home improvements?
VA Loan Basics
How do I get prequalified and what happens afterward?
What if I don’t have copies of my discharge paperwork?
Can I pay off a VA Loan early?
When is the VA Loan not my best option?
Can the VA Loan help me lower my monthly bills?
What types of homes can I buy with a VA Loan?
The vast majority of military buyers use their VA loan to purchase or refinance an existing single-family home. But veterans interested in purchasing a condo or building a home from the ground up can also utilize a VA loan. You can use a VA loan:
- To purchase a residence that’s owned and occupied by the veteran.
- To refinance an existing VA-guaranteed or direct loan in order to lower the current interest rate.
- To refinance in order to take out cash.
- To repair, alter or improve a residence owned by a veteran.
- To simultaneously purchase and improve a home
- To make energy-efficiency improvements in conjunction with a VA purchase or refinance loan.
- To purchase up to four one-family residential units in a condo development approved by the VA. One of those four units must be used as the borrower’s primary residence.
- To purchase a farm residence to be owned and occupied by the veteran. The property cannot be a working farm or an income-producing property.
What Our Clients Are Saying
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Get started immediately with our quick quote form or complete the full online application & get pre-qualified now.