Can non-taxable income like child support, Social Security, or workers compensation be used to qualify for a Kentucky mortgage loan?

Yes. Non-taxable income such as child support, Social Security, and workers compensation can often be used to qualify for a Kentucky mortgage loan as long as it is properly documented and is expected to continue for at least the next three years from closing.

How long must non-taxable income continue to count for a Kentucky mortgage?

Most mortgage programs require that non-taxable income be likely to continue for at least three years from the date of closing. Lenders verify this using court orders, award letters, benefit statements, or similar documentation.

What are the rules for using child support income on a Kentucky mortgage application?

To use child support income, underwriters typically require a full 12-month history of consistent payments plus documentation that the support will continue for at least three more years. Irregular or significantly late payments may cause the income to be reduced or excluded.

How much can non-taxable income be grossed up for FHA, VA, USDA, and conventional loans?

For many Kentucky loans, non-taxable income may be grossed up to as much as 125 percent for VA, USDA, and Fannie Mae conventional loans. FHA typically allows a gross-up of up to 115 percent. For example, 1,000 per month of non-taxable income could be treated as 1,250 for VA, USDA, or conventional qualifying, and 1,150 for FHA qualifying, subject to lender policies.

Do lenders always allow the maximum gross-up percentage on non-taxable income?

Not always. While the agencies may permit gross-up percentages of 115 to 125 percent, individual lenders can apply overlays. Some lenders limit the gross-up to a lower percentage or add extra documentation requirements, so policies can vary from one lender to another.

Is it better to use the highest possible grossed-up income when qualifying for a Kentucky mortgage?

Not necessarily. Although grossing up non-taxable income can help a borrower qualify or slightly increase their maximum purchase price, many borrowers are better served by qualifying using more conservative, stable income figures. This approach can help keep payments comfortable and provide a margin of safety if expenses increase later.

What debt-to-income ratio do I need for an FHA mortgage in Kentucky?

Most FHA lenders in Kentucky look for a front-end DTI around 31 percent and a back-end DTI around 43 percent. With strong compensating factors and manual underwriting, total DTI can sometimes be approved closer to 50 percent.

Can I get a VA home loan in Kentucky with a high DTI ratio?

VA uses a 41 percent debt-to-income ratio as a guideline, but the program also relies heavily on residual income. Many Kentucky VA borrowers are approved with DTIs above 41 percent when they have strong residual income, stable employment, and good payment history.

How much income do I need to buy a 200,000 dollar home in Kentucky?

Using a typical FHA scenario with a 3.5 percent down payment, many borrowers need roughly 4,000 to 4,500 dollars in gross monthly income to support a payment in the 1,200 to 1,300 dollar range, depending on taxes, insurance, and interest rate. A full pre-approval with a Kentucky lender is the only way to confirm exact numbers.

Does child support or alimony count in my mortgage DTI?

Yes. Court-ordered child support and alimony are included as monthly debts in your back-end debt-to-income ratio. These payments reduce the amount of new mortgage payment a lender will allow under FHA, VA, USDA, KHC, and Conventional guidelines.

Can I get a mortgage with a 50 percent debt-to-income ratio?

Some Kentucky borrowers are approved with total DTIs near 50 percent, typically through FHA, VA, or certain KHC programs with manual underwriting and strong compensating factors such as high credit scores, cash reserves, or solid residual income. Conventional loans are usually tighter and rarely approve DTIs that high.

Does my spouse's income help my DTI if we apply together?

When spouses or co-borrowers apply together, lenders combine all qualifying income and all monthly debts to calculate a blended debt-to-income ratio. A spouse with strong income and low debt can improve the combined DTI and help you qualify for a higher loan amount.

Louisville Kentucky Mortgage Lender for FHA, VA, KHC, USDA and Rural Housing Kentucky Mortgages

I specialize in Kentucky First Time Homebuyers FHA, VA, USDA & Rural Housing, KHC and Fannie Mae mortgage loans. I have helped over 1300 Kentucky families buy their first home or refinance their current mortgage for a lower payment; Kentucky First time buyers we still how available down payment assistance with KHC. Free Mortgage applications/ same day approvals. Web site is not endorsed by the FHA, VA, USDA govt agency. Text/call 502-905-3708 kentuckyloan@gmail.com NMLS 57916 NMLS 1738461

Showing posts with label Debt to Income Ratio. Show all posts

Can you use Non-taxable income like Child Support, Social Security, Workers Compensation to qualify for a Kentucky Mortgage Loan?

Using Non-Taxable Income To Qualify For A Kentucky Mortgage Loan

Many Kentucky homebuyers rely on non-taxable income such as child support, Social Security, or workers compensation. The good news: in many cases, these income sources can absolutely be used to help you qualify for a mortgage in Kentucky, as long as they meet the agency rules and documentation requirements.

Non-Taxable Income Types That Can Be Used

The following non-taxable income sources are commonly allowed for mortgage qualifying in Kentucky, subject to program rules:

Child support
Social Security income (retirement or disability)
Workers compensation (long-term or permanent)
Other verified non-taxable income documented on tax returns or award letters

The 3-Year Continuance Rule

To use non-taxable income for qualifying, lenders must be able to document that the income is likely to continue for at least the next three years from the date of closing. This is a core requirement across the major loan programs.

Child support: must continue for three years beyond closing based on the court order or agreement.
Social Security: award letters must indicate ongoing benefits with no known end date.
Workers compensation: must be permanent or long-term; temporary benefits usually cannot be used.

Special Rule For Child Support In Kentucky Mortgage Qualifying

To use child support as qualifying income on a Kentucky mortgage:

You must document consistent receipt for the most recent 12 months.
Bank statements, payment histories, or deposit records must support the pattern.
The court order or written agreement must show the amount and the end date.

If the payments have been irregular, significantly late, or frequently short, the underwriter may reduce or disallow that income.

Grossing Up Non-Taxable Income To Boost Qualifying Power

Because this income is not taxed, most loan programs allow lenders to “gross up” the amount to show a pre-tax equivalent. This increases your qualifying income on paper and can help you qualify for a higher mortgage amount or keep your debt-to-income ratios within program limits.

Gross-Up Percentages By Loan Program

Here is a simple breakdown of how much non-taxable income can typically be grossed up for Kentucky mortgage programs:

Loan Program	Gross-Up Percentage Allowed	Example On 1,000 Monthly Non-Taxable Income
Fannie Mae Conventional	Up to 125 percent	Qualifying income: 1,250 per month
USDA Rural Housing	Up to 125 percent	Qualifying income: 1,250 per month
VA Loans	Up to 125 percent	Qualifying income: 1,250 per month
FHA Loans	Up to 115 percent	Qualifying income: 1,150 per month

Simple Gross-Up Example

If you receive 1,000 per month in non-taxable Social Security income:

On a VA, USDA, or Fannie Mae conventional loan, lenders can often use 1,250 per month to qualify.
On an FHA loan, lenders can usually use 1,150 per month to qualify.

That extra qualifying income can make the difference between an approval and a denial, or can allow you to purchase a more suitable home while staying within safe debt-to-income ratios.

Lender Overlays And Why Your Results May Vary

Agency guidelines (FHA, VA, USDA, Fannie Mae) are one thing, but individual lenders can add their own internal rules, called overlays. A few common overlays around non-taxable income include:

Limiting the gross-up percentage to less than the agency maximum.
Requiring a longer history of receipt than the minimum guidelines.
Being more conservative with temporary or borderline workers compensation income.

This is why it is important to work with a loan officer who understands Kentucky guidelines and individual lender policies.

Conservative Approach: Why Less Is Often More

While grossing up non-taxable income is a powerful tool, it is often wise to qualify using the lowest stable income figure that still gets you approved. This can:

Provide a safety margin if guidelines or lender interpretations tighten.
Help keep your payment comfortable if taxes, insurance, or other debts increase in the future.
Reduce the risk of surprises during the final underwriting review.

In many cases, using a more conservative income number gives you more long-term financial breathing room, even if it slightly lowers your maximum purchase price.

Infographic: Non-Taxable Income Gross-Up Guide For Kentucky Homebuyers

Non-Taxable Income Gross-Up Guide

For Kentucky FHA, VA, USDA, And Conventional Loans

Loan Type

Conventional, VA, USDA → Up to 125 percent

Loan Type

FHA → Up to 115 percent

Example

1,000 non-taxable income VA / USDA / Conventional → 1,250 qualifying FHA → 1,150 qualifying

Key Rule

Income must be expected to continue at least three years from closing.

Child Support

Twelve-month history of consistent payments plus three-year continuance required.

Strategy

Whenever possible, qualify using the most conservative stable income to protect your budget.

Ready To See How Your Non-Taxable Income Can Help You Qualify?

If you receive child support, Social Security, or workers compensation and want to see how it can be used to qualify for a Kentucky mortgage, reach out and I can run the numbers based on your exact situation and loan program options.

Joel Lobb, Mortgage Broker FHA, VA, KHC, USDA NMLS 57916 EVO Mortgage, NMLS 1738461 Call or text: 502-905-3708 Email: kentuckyloan@gmail.com Website: www.mylouisvillekentuckymortgage.com

Non-Taxable Income Gross-Up Guide

Conventional, VA & USDA

Qualify at Up to 125%

FHA Loans

Qualify at Up to 115%

Eligibility Window

Income must continue for At Least 3 Years

Child Support

12-month history + 3-year Continuance Required

Qualifying Income Sources

Social Security, Disability, Pension, Annuity And More

Pro Strategy

Qualify with most conservative stable income to Protect Your Budget

💰 Real-World Example

Monthly Non-Taxable Income

$1,000

VA / USDA / Conventional Gross-Up

$1,000 × 125% = $1,250 Qualifying Income

FHA Gross-Up

$1,000 × 115% = $1,150 Qualifying Income

Joel Lobb, Mortgage Broker FHA, VA, KHC, USDA

Why Work With Me? Local Expertise: I know the ins and outs of Kentucky’s housing market and loan programs. Fast Approvals: I offer free mortgage applications with same-day approvals to keep the process moving quickly. Customized Loan Solutions: Whether you’re buying a home or refinancing, I’ll find the right loan program to fit your needs. Personalized Service: I treat every client like family, ensuring you’re supported and informed throughout the process. About My Website Visit my website for a wealth of resources tailored to Kentucky homebuyers. You’ll find: Step-by-step guides for first-time homebuyers. Information on loan programs like FHA, VA, USDA, and KHC. Tools to help you calculate potential payments and affordability. Blog posts with tips and updates on the Kentucky housing market. A secure portal to start your loan application and upload documents. Please Note: My website is not endorsed by the FHA, VA, USDA, or any government agency. It is an independent platform created to educate and assist homebuyers with expert advice and accessible tools.

How much income do I need qualify for Kentucky Home Loan?

DTI Ratio Guide: How Much Income Do You Need for a Mortgage in Kentucky?

Mortgage DTI Ratio Guide: How Much Income Do You Need To Qualify In Kentucky?

A practical Kentucky-focused guide to debt-to-income ratios, front-end and back-end limits, and how FHA, VA, USDA, KHC, and Conventional lenders calculate what you qualify for.

Understanding How Lenders Look At Your Income In Kentucky

When you apply for a mortgage in Kentucky, lenders look past the sales price and interest rate. They want to know how much of your monthly income is already spoken for. That is where your debt-to-income ratio, or DTI, comes in.

Your DTI ratio compares your total monthly debt payments to your gross monthly income. It is one of the biggest drivers of approval, loan amount, and pricing for FHA, VA, USDA, KHC, and Conventional loans.

Key idea: a strong DTI can offset a mid-range credit score, but a weak DTI can kill a file even with great credit.

What Is Debt-To-Income (DTI) And Why It Matters

Debt-to-income ratio is the percentage of your gross monthly income that goes toward required monthly debt payments. Lenders use it to measure whether you can safely take on a new mortgage payment on top of your existing obligations.

Formula:

Total monthly debt payments ÷ gross monthly income × 100 = DTI percentage

Example: if you earn 5,000 per month and have 2,000 in total monthly debt (including the new house payment), your DTI is 40 percent.

Front-End Versus Back-End DTI Ratios

Lenders run two separate DTI tests on every file: the front-end ratio and the back-end ratio.

Front-end ratio (housing ratio)

Measures how much of your gross monthly income goes only to the house payment:

Principal
Interest
Property taxes
Homeowners insurance
Mortgage insurance, if applicable

For FHA, a typical guideline is around 31 percent of gross income.

Back-end ratio (total DTI)

Measures all required monthly debts including the new house payment:

New mortgage payment (PITI)
Credit card minimums
Auto loans
Student loans
Child support or alimony
Personal loans and 401(k) loans

Utilities, cell phone, car insurance, groceries, and streaming services do not count in DTI.

Most Kentucky lenders want to see a total DTI in the low-to-mid forties. Some programs will stretch higher with strong credit, savings, or residual income.

Typical DTI Guidelines By Loan Program In Kentucky

Exact approval limits come from automated underwriting findings, but these ranges are a realistic working grid for Kentucky files.

Loan program	Front-end	Back-end	Notes
FHA	Around 31 percent	43–50 percent with AUS and compensating factors	Popular for first-time buyers and mid-range credit scores.
VA	No strict front-end; 41 percent used as a guide	41–55 percent depending on residual income	Zero down, no monthly mortgage insurance; residual income is critical.
USDA	About 29–32 percent	Around 41–43 percent	Zero down for eligible rural areas; tighter on DTI than FHA.
KHC	Around 31–32 percent	43–45 percent depending on program	Used with FHA, VA, USDA, or Conventional plus down payment assistance.
Conventional (Fannie/Freddie)	Around 28 percent	Up to 49.9 percent with strong AUS approval	Best pricing for well-qualified borrowers with solid credit.

Automated Findings Versus Manual Underwriting

Most Kentucky loans run through automated underwriting systems such as Desktop Underwriter, Loan Product Advisor, or USDA and VA equivalents. These engines have hard-coded DTI caps that cannot flex.

When a file is strong overall but just outside the automated DTI box, a manual underwriter can sometimes step in and approve the loan by looking at the full picture.

Automated underwriting (AUS)

Fast decisions based on credit, DTI, assets, and property data
DTI limits are strict; the engine cannot use judgment
Ideal for clean, well-qualified files

Manual underwriting

Human underwriter reviews the full story
Can allow higher DTIs with strong compensating factors
Common on FHA, VA, USDA, and some KHC loans

Manual underwriting is often the difference between a denial and an approval for borrowers who are a few points over standard DTI limits but have stable income, cash reserves, or strong payment history.

Residual Income And Disposable Cash Flow

DTI is not the only way to look at risk. Some programs, especially VA, put heavy weight on residual income, which is the money left over after all debts, taxes, and basic living expenses are paid.

Strong residual income can tip a borderline DTI file into an approval because it shows the borrower has room to absorb surprises, repairs, and lifestyle costs beyond the minimum debt obligations.

Kentucky DTI Mortgage Calculator

Use this quick calculator to estimate the maximum monthly mortgage payment you can carry under common Kentucky guidelines. This is a rough planning tool, not a final approval decision.

Loan program preset

Gross monthly income (before taxes)

Existing monthly debts from credit report

Include car loans, credit cards, student loans, child support, and other required payments.

Front-end percent

Back-end percent

Results

Enter your income and debts to estimate how much house payment fits typical DTI rules.

This tool is for educational estimates only and is not a credit decision. Actual approvals follow AUS findings and full underwriting review.

Practical Ways To Improve Your DTI Before You Apply

If your current DTI is on the high side, a few focused moves can open up more approval options and price ranges.

Pay down or eliminate small monthly debts

Target revolving credit cards and small installment loans first. Every 50 to 100 dollars in monthly payment reduction directly lowers your DTI and raises what you qualify for.

Avoid taking on new debt before closing

New car loans, furniture financing, or large credit card purchases right before or during the mortgage process can push your DTI over the limit and cost you the approval.

Consider a co-borrower with income and low debt

A spouse or co-borrower with strong income and minimal monthly obligations can materially improve the combined DTI on the file. Their debts count too, so the profile has to make sense overall.

Look at program fit instead of forcing one product

A file that is tight for Conventional may be completely workable under FHA, VA, USDA, or KHC guidelines. Matching income, credit, and DTI to the right program is where an experienced local loan officer earns their keep.

Real Kentucky Example: 5,000 Monthly Income And 1,000 In Debts

Here is a simple FHA-style scenario for a borrower in Kentucky earning 5,000 per month with 1,000 in monthly debts on the credit report.

Item	Calculation	Amount
Gross monthly income	Stated	5,000
Front-end limit (31 percent)	5,000 × 0.31	1,550
Back-end limit (43 percent)	5,000 × 0.43	2,150
Existing debts	Car, cards, student loans	1,000
Back-end room for house payment	2,150 − 1,000	1,150
Estimated maximum PITI payment	Lower of 1,550 and 1,150	1,150 per month

Depending on rate, taxes, and insurance, a payment in this range might support a price point somewhere around the high 100s to low 200s in many Kentucky markets. Exact numbers require a full quote.

Want To Know Exactly How Much House You Qualify For In Kentucky?

A quick pre-approval conversation can take the guesswork out of DTI. We can run your income, debts, and credit through multiple Kentucky lenders and programs and show you real numbers instead of rough estimates.

kentuckyloan@gmail.com

Call or text

502-905-3708

Website

MyLouisvilleKentuckyMortgage.com

FHA, VA, USDA, KHC, and Conventional options available. First-time homebuyers welcome.

Joel Lobb, Mortgage Broker FHA, VA, KHC, USDA

Why Kentucky Mortgage Loans Are Denied

When applying for a Kentucky mortgage loan, several factors play a crucial role in the approval and denial process.

Understanding why Kentucky mortgage loans may not get approved due to credit score, bankruptcy, income ratio, work history, and foreclosure is essential for prospective homebuyers.

Credit Score of 620 or below:

A credit score reflects an individual's creditworthiness. Lenders use this score to assess the risk of lending money. A lower credit score, typically below 620, can raise concerns for lenders. It may indicate past financial challenges, missed payments, or high levels of debt. To improve mortgage approval chances, borrowers should aim for a higher credit score by paying bills on time, reducing debt, and fixing any errors on their credit report.

Bankruptcy less than 2 years or foreclosure less than 3 years:

Bankruptcy can significantly impact mortgage approval. Depending on the type of bankruptcy (Chapter 7 or Chapter 13) and how long ago it occurred, lenders may view it as a red flag.

Bankruptcies stay on credit reports for 10 years, affecting credit scores and indicating financial instability. Lenders may require a waiting period after bankruptcy before considering a mortgage application.

Chapter 7

If you have filed a Chapter 7 Bankruptcy, the mortgage waiting periods begin after the discharge date:

Fannie Mae (conventional) loan – 4 years from discharge date
FHA loan – 2 years from discharge date
VA loan – 2 years from discharge date
USDA loan – 3 years from discharge date

Chapter 13 Bankruptcy

On the other hand, if you have filed a Chapter 13 Bankruptcy, the mortgage waiting periods are shorter:

Fannie Mae (conventional) loan – 2 years from discharge date, and also 4 years from the dismissal date.
FHA loan – 1 year from the payout period. However, you also need court permission, and proof of satisfactory bankruptcy payment and performance.
VA loan – 1 year from the payout period. Also, court permission, and proof of satisfactory bankruptcy payment and performance.
USDA loan – 1 year of the payout must elapse and payment performance must be satisfactory. In addition, you need court permission to borrow again.

After Short Sale/Deed-in-Lieu of Foreclosure

The mortgage waiting periods after a short sale begin after the completion date:Fannie Mae (conventional) loan – 4 years
FHA loan – 3 years
VA loan – 2 years
USDA loan – 3 years

Debt to Income Ratio over 50%

Lenders assess income ratios to determine if borrowers can afford mortgage payments. The debt-to-income ratio (DTI) compares monthly debt payments to gross monthly income. A high DTI suggests financial strain and may lead to loan denial. Lenders typically prefer a DTI below 50% for conventional loans. Increasing income or reducing debt can help improve this ratio and enhance loan approval chances.

Work History less than 2 years with job gaps:

2 year Stable employment and consistent income are vital for mortgage approval. Lenders evaluate work history to ensure borrowers have a reliable source of income to repay the loan. Job changes, gaps in employment, or irregular income can raise concerns. Ideally, borrowers should demonstrate a steady work history with consistent or increasing income over time.

Joel Lobb Mortgage Loan Officer

Text/call: 502-905-3708

email: kentuckyloan@gmail.com

http://www.mylouisvillekentuckymortgage.com/

The view and opinions stated on this website belong solely to the authors, and are intended for informational purposes only. The posted information does not guarantee approval, nor does it comprise full underwriting guidelines. This does not represent being part of a government agency. The views expressed on this post are mine and do not necessarily reflect the view of my employer. Not all products or services mentioned on this site may fit all people.
NMLS ID# 57916, (www.nmlsconsumeraccess.org).

Joel Lobb, Mortgage Broker FHA, VA, KHC, USDA

The reasons you will get turn down for a mortgage loan in Kentucky

Top 10 Reasons Mortgage Loans Are Denied in Kentucky (FHA, VA, USDA & Fannie Mae)

There are several reasons why people in Kentucky might get turned down for a mortgage loan. These reasons can be broadly categorized into issues with the borrower or the property:

Borrower-related reasons:

Credit score: Low credit scores (generally below 620) are a major factor in loan denials. Having a history of late payments, delinquencies, or collections can negatively impact your score.

Debt-to-income ratio (DTI): This ratio compares your monthly debt payments to your gross income. A high DTI (generally above 50%) indicates you have a lot of debt compared to your income, making it harder to afford a mortgage payment.

Employment history: Lenders prefer borrowers with stable employment and income. Recent job changes, gaps in employment, or insufficient income documentation can raise concerns.

Down payment: A smaller down payment increases the loan amount and loan-to-value ratio (LTV), making the loan riskier for lenders. In Kentucky, FHA loans require a minimum 3.5% down payment, while conventional loans typically require 20%.

Insufficient assets: While not always a disqualifier, having limited savings or assets can weaken your application by reducing your financial cushion.

Property-related reasons:

Appraisal value: If the appraised value of the property is lower than the purchase price, it creates a high LTV, making the loan riskier for lenders.

Property condition: Major repairs or structural issues with the property could require significant investment before closing, which lenders may not be comfortable with.

Location: Properties in floodplains or other high-risk areas may be ineligible for certain loan types or require additional insurance.

turndown for mortgage,bad credit,credit,Credit Score,Debt to Income Ratio,fha income,job gaps,job loss,new job,time on the job,down payment assistance and first time home buyer grants,appraisal,

Here are some resources that can help:

Reasons loan denied in Kentucky https://www.mylouisvillekentuckymortgage.com/2010/10/get-approved-for-mortgage-or-home-loan.html

Joel Lobb Mortgage Loan Officer

American Mortgage Solutions, Inc.
10602 Timberwood Circle
Louisville, KY 40223
Company NMLS ID #1364

Text/call: 502-905-3708
fax: 502-327-9119
email: kentuckyloan@gmail.com

http://www.mylouisvillekentuckymortgage.com/

Joel Lobb, Mortgage Broker FHA, VA, KHC, USDA

A Little About Me

Thank you for visiting. I hope you find this website both informative and empowering as you explore your mortgage options. My goal is to help you feel confident in selecting the right home loan for your unique situation. I proudly serve all 120 counties in Kentucky, offering a full range of mortgage loan programs, including: FHA Loans VA Loans USDA Rural Housing Loans Fannie Mae Conventional Loans KHC Down Payment Assistance Programs With over 20 years of lending experience, I’ve had the privilege of helping more than 1,300 Kentucky families achieve their homeownership goals. Whether you're a first-time homebuyer or seeking a second opinion, I’m here to offer honest, no-pressure advice—always free of charge. I am dedicated to: Attending as many closings as possible Providing responsive, personalized service Ensuring quick, efficient, and accurate loan processing Making myself accessible every step of the way I've been consistently recognized as a top mortgage loan officer in Kentucky for VA, FHA, USDA, and KHC programs. I take pride in being thorough, transparent, and attentive with each and every client. Please take a moment to read my reviews below. If you have questions or need guidance, feel free to call or text me directly. Call/text at 502-905-3708. Free Mortgage Pre-Qualifications same day on most applications.

Email me at kentuckyloan@gmail.com with your questions

I specialize in Kentucky FHA, VA ,USDA, KHC, Conventional and Jumbo mortgage loans. I am based out of Louisville Kentucky. For the first time buyer, we offer Kentucky Housing or KHC loans with down payment assistance.

This website is not an government agency, and does
not officially represent the HUD, VA, USDA or FHA or any other government agency.

NMLS# 57916 http://www.nmlsconsumeraccess.org/

Joel Lobb Senior Loan Officer/p>

call/text phone: (502) 905-3708 kentuckyloan@gmail.com Company ID #1738461
EQUAL HOUSING LENDER
http://www.mylouisvillekentuckymortgage.com/

Customer Testimonials

We just moved here the first of January in 2017 from Ohio to the Louisville, KY area and we found Joel's website online. He was quick to respond to us and got back the same day on our loan approval. He was very knowledgeable about the local market and kept us up-to date throughout the loan process and was a pleasure to meet at closing. Would recommend his services.

Angela Forsythe

"We were searching online for mortgage companies in Louisville, Ky locally to deal with and found Joel's website, and it was a godsend. He was great to work with, and delivered on everything he said he would do. I ended up referring my co-worker at UPS, and she was very pleased with his service and rates too. Would definitely vouch for him." September 2016

Monica Leinhardt

"We contacted Joel back in July 2011 to refinance our Mortgage and he was great to work with. We contacted several lenders locally and online, and most where taking almost 60 days to close a refinance, Joel got it done in 23 days start to finish,I would definetly recommmend him. He got us 3.75% with just $900 in closing costs on our FHA Streamline loan.

Kayle Griffin

“Joel is one of the best Mortgage Brokers I have ever worked with in my sixteen years in the real estate and mortgage business.” May 25, 2010

Tim Beck
“Joel has always worked very hard to keep his word and to work out seasonable solutions to difficult problems. He is truly an expert in FHA and other type loans.” September 1, 2010

Nancy Nalley

“I have worked with Joel since 1998. He is a great loan professional.” I refer most of my Louisville, Kentucky area home buyers to him and he always take special care of them. August 23, 2012

Jon ClarK

“Joel Lobb is a real professional in the lending industry, with many years of experience, he is the one to go to for any mortgage lending needs.” August 22, 2011

RICHARD VOLZ , Residential Sales , Remax Foursquare Realty
“When looking to purchase our new home in 2006, I had the pleasure of meeting Joel Lobb. Not only was he personable and easy to reach, he was extremely knowledgable in his field and made sure to find us the best rate and a top notch mortgage company. We were able to complete the process in less than 3 weeks with his expertise. I find Joel to have the utmost high integrity and I recommend him to anyone who say's they are need of mortgage assistance. He is also fantastic and keeping everyone up to date on the latest in the housing industry through his twitter posts. He provided great results for our family and we still communicate to this day!” August 21, 2010
Stacie Drake

"We first use Joel on our new home purchase in 2007 in St Matthews, Kentucky area and he was great to work with. We have since refinanced our home with him in 2010 when rates got really low and he has always delivered on what he says. I could not imagine using anyone else."

Melody Glasscock March 2014

Absolutely Amazing!! I emailed Joel after I had just got a denial from a bank and just thought i would try to get some advice on what my next steps would be to get a house. I honestly didn't expect to even get a reply because my credit is not great. That was about a week and a half ago. I just signed a contract on a house last night. ONLY because of Joel Lobb. He even worked with us throughout the weekend, which shocked me. Best decision I have ever made. THANK YOU SO MUCH FOR WORKING WITH US THROUGHOUT THE ENTIRE PROCESS.

Cee Bellisle August 2018

Contacted him about buying a home and he was great to work with. I was moving to Louisville Ky to take a new job and he walked me through the entire process. He explained to me all the different options for FHA, VA, USDA mortgage loans and credit score requirements versus Fannie Mae. Since I was a first time home buyer I needed alot of help and guidance. I would definitely recommend him. Fast to respond and available to answer questions that I or my realtor had after hours.

Anderson Johnson April, 2018

We moved from Michigan to Northern Kentucky area and we were really impressed. We got a USDA loan no money down and closed in less than 3.5 weeks. We shopped around online with other lenders but Joel was always first to respond and his rates were just a little better than other lenders. He kept us informed through the process along with our realtor and there was absolutely no surprises like we heard from other co-workers and friends that they experienced in their loan process. We have already referred another co-worker to Joel . He's AWESOME!

Patty Kingston July 2018

Wow, what a great loan officer. I was referred to him by our agent and he was great to work with. We used him for a USDA no money down loan in Shelby County and we were really impressed. We were afraid we could not buy a home since we did not have money saved for a down payment, but Joe l was able to get us a zero down loan and we even got our appraisal fee and good faith deposit back at closing. We actually got money back at closing!!! I Can't think him enough. Our family moved from our apartment in the south end of town to get our own home with 5 acres for our kids and 2 dogs, at a payment that is equal to our rent payment also. .Thanks Again Joel. May god bless you

Patty Locker April 2019

We contacted Joel about buying a house on our move from Ohio for my husband's job transfer with Ford. We put a lot of trust in him since we were new to the area and first time home buyers in the Louisville KY market, and he always delivered on what he said. It took us a while to find a home due to the lack of homes, but once we got one, he was always quick to respond our questions via text or email ,and kept us informed through the process. We got to meet him at the closing and he was super nice and even got us a closing gift for our home which we didn't expect at all. Super nice guy ��!!! I would definitely recommend him for a local Home loan in the Louisville area.

Pam Dolby June 2019

I got a VA loan with Joel and he was great. He is an ex-army guy so he could relate to my past experiences of being a veteran and moving around the country a lot. I had some credit issues that required a little extra work but Joel was able to find A VA lender to approve my situation as far as having past bad credit problems and a lower credit score. We closed yesterday on our home here in Louisville and we could not be happier. We finally have a home of our own thanks to Joel .I would definitely recommend him for a mortgage loan. Great experience and closed 8 days before expected close date so we were able to move in early.

Betty Parsons February 2019

I contacted Joel about the $10,000 KY Housing Grant last month and we were able to get it and I just closed on my home. He was great to work with and if you are a first time home buyer here in Louisville, I would definitely contact him. I met him at his office and he was very nice and knowledgeable and kept me informed through the process. No surprises either so I was very happy. I am new homeowner thanks to Joel .

July 1st 2019 Johnathan Simmons

Full Disclosure Policy

This policy is valid from 11 July 2013

This blog is a sponsored blog created or supported by a company, organization or group of organizations. For questions about this blog, please contact Joel Lobb 502-905-3708 or email kentuckyloan@gmail.com NMLS# 57916.

This blog does not accept any form of advertising, sponsorship, or paid insertions. We write for our own purposes. However, we may be influenced by our background, occupation, religion, political affiliation or experience.

This blog abides by word of mouth marketing standards. We believe in honesty of relationship, opinion and identity. The compensation received may influence the advertising content, topics or posts made in this blog. That content, advertising space or post will be clearly identified as paid or sponsored content.

The owner(s) of this blog is not compensated to provide opinion on products, services, websites and various other topics. The views and opinions expressed on this blog are purely the blog owners. If we claim or appear to be experts on a certain topic or product or service area, we will only endorse products or services that we believe, based on our expertise, are worthy of such endorsement. Any product claim, statistic, quote or other representation about a product or service should be verified with the manufacturer or provider.

This blog does contain content which might present a conflict of interest. This content will always be identified.

Website Fine Print

The content provided on this website is presented or compiled by Joel Lobb and is provided for informational purposes only. It does not necessarily represent the views or opinions of his employer.

Joel Lobb or his employer assumes any legal liability or responsibility for the accuracy, completeness, or usefulness of any information disclosed, or represents that its use would not infringe privately owned rights.

The mortgage or financial services or strategies mentioned in this website may not be not suitable for you.

This website participates as an Equal Opportunity Lender. All rights Reserved.

Joel Lobb is a Licensed Mortgage Originator: NMLS #57916.

Legal Disclaimer

This web site is not the FHA, VA, USDA, HUD or any other government organization responsible for managing, insuring, regulating or issuing residential mortgage loans.

**Download Fair Housing Booklet – CLICK HERE

All approvals and rates are not guaranteed, and are only issued based on standard mortgage qualifying guidelines.

Pages

Can you use Non-taxable income like Child Support, Social Security, Workers Compensation to qualify for a Kentucky Mortgage Loan?

Using Non-Taxable Income To Qualify For A Kentucky Mortgage Loan

Non-Taxable Income Types That Can Be Used

The 3-Year Continuance Rule

Special Rule For Child Support In Kentucky Mortgage Qualifying

Grossing Up Non-Taxable Income To Boost Qualifying Power

Gross-Up Percentages By Loan Program

Simple Gross-Up Example

Lender Overlays And Why Your Results May Vary

Conservative Approach: Why Less Is Often More

Infographic: Non-Taxable Income Gross-Up Guide For Kentucky Homebuyers

Ready To See How Your Non-Taxable Income Can Help You Qualify?

How much income do I need qualify for Kentucky Home Loan?

Understanding How Lenders Look At Your Income In Kentucky

What Is Debt-To-Income (DTI) And Why It Matters

Front-End Versus Back-End DTI Ratios

Front-end ratio (housing ratio)

Back-end ratio (total DTI)

Typical DTI Guidelines By Loan Program In Kentucky

Automated Findings Versus Manual Underwriting

Automated underwriting (AUS)

Manual underwriting

Residual Income And Disposable Cash Flow

Kentucky DTI Mortgage Calculator

Results

Practical Ways To Improve Your DTI Before You Apply

Pay down or eliminate small monthly debts

Avoid taking on new debt before closing

Consider a co-borrower with income and low debt

Look at program fit instead of forcing one product

Real Kentucky Example: 5,000 Monthly Income And 1,000 In Debts

Want To Know Exactly How Much House You Qualify For In Kentucky?

Why Kentucky Mortgage Loans Are Denied

The reasons you will get turn down for a mortgage loan in Kentucky

Top 10 Reasons Mortgage Loans Are Denied in Kentucky (FHA, VA, USDA & Fannie Mae)

There are several reasons why people in Kentucky might get turned down for a mortgage loan. These reasons can be broadly categorized into issues with the borrower or the property:

Joel Lobb Mortgage Loan Officer