New Financing Options!  

Effective immediately, Kentucky Housing Corporation (KHC) is offering the FHA streamline non-credit qualifying, without appraisal refinance through secondary market funding. The Kentucky Housing Corporation (KHC) Secondary Market Guide now includes this information, available on KHC's website, under Lenders.

Purchase Price Limits Increased

The Secondary Market purchase price limit is now $294,000! Also, the Mortgage Revenue Bond and KHC's Home Buyer Tax Credit purchase price limit is now $265,000! 

Mortgage Insurance Premiums Reduced 

FHA Mortgagee Letter 2015-01 reduces the annual Mortgage Insurance Premium (MIP) rate effective for FHA case numbers assigned on and after January 26, 2015. FHA will temporarily approve case number cancellation requests for loans with FHA case numbers assigned but not yet closed, to allow mortgagees to obtain the reduced annual MIP rates.  

Mortgagees must submit case number cancellation requests using the submission instructions specific to this temporary authority posted on FHA's Case Processing Requirements web page. Mortgagees may now request case number cancellations, but must submit all case number cancellation requests by 11:59 p.m., ET, on Thursday, February 26, 2015. 

KHC's Third Party Originator Lenders must make requests for case number cancellations through khcuw@kyhousing.org.

Helpful Tip for KHC's Reservation System

When locking loans in KHC's Reservation System, if you are going to be adding a Down payment Assistance Program (DAP) loan, do not print the Reservation Confirmation until after the DAP is locked. Otherwise, the DAP loan information will not print on the Reservation Confirmation.

DU Approve/Ineligible with KHC's Conventional 97 Programs

Lenders are asked to overlook the Approve/Ineligible message if the only reason for the "Ineligible" recommendation is because the Loan-To-Value (LTV) is above 95 percent and at least one borrower is not a first-time home buyer. This edit will not be fixed until Fannie Mae's next DU release in April 2015. If you have any questions, please email khcuw@kyhousing.org.