Kentucky Mortgage Loan Preapproval: What To Know
What affects your home loan preapproval
Employment Status for Kentucky Mortgage Pre-Approval
Credit History and FICO Score for Kentucky Mortgages
Why Getting Preapproved Is Such a Big Deal
What are standard continuity of employment requirements?
A borrower will need to verify a two-year cumulative employment history. Less than two year may be
offset via school transcripts; if guaranteed hourly (40) or salaried in nature, the base income
will be allowable. Variable earnings will require at minimum 12 months receipt on current position;
OT, Bonus and commission are considered variable however, must reflect a cumulative two- year
history of receipt.
What income can I use for a traveling nurse?
A minimum 12-month history of contract nursing work is required. Income documentation must
include copies of applicable contracts and WVOE’s for each position. The income will be averaged.
Standard two- year employment history required.
Do we allow one score on a conventional transaction? No score?
Yes! If the borrower has three scores, the middle score is to be used; two scores, the lower score
is to be used; one score, that score is to be used. If no score, only allowable with AUS A/E and
less than 50% of transactional income contributions. We do not average scores.
Can I use part time or secondary income for qualifying purposes?
Yes! Conventional~ secondary employment will require a two- year history of receipt to use in
conjunction with the primary employment earnings. Multiple second jobs over this time frame are
allowable however the borrower may not have a job gap > one month in length. Part time employment
alone will be considered variable in nature and will require a minimum 12- month history; earnings
will be averaged. FHA~ will require an uninterrupted two- year history for utilization.
When must a borrower start a new job in conjunction with future employment?
Conventional requires a start date within 90 days of the Note date. FHA requires a start date
within 60 days of note date. VA max 60 days of note date. Non contingent contract required for each
What type of income(s) are considered illegal?
Foreign shell banks; medical marijuana dispensaries; any business or activity related to
recreational marijuana-use , growing, selling or supplying- even if permitted by state or local law.
Policy is not limited to owner of business.
Mortgage Loan Officer