VA Loans Kentucky With No Mortgage Lender Overlays


This BLOG On VA Loans Kentucky With No Mortgage Lender Overlays Was Written By Michael Gracz National Sales Manager of Gustan Cho Associates

What VA Looks Like Kentucky Loans With No Mortgage Lender Overlays

Kentucky is commonly referred to as the” Bluegrass State”.

  • This is because of the Bluegrass is found in the soil
  • The two largest cities are Louisville and Lexington based on population

The state of Kentucky has some very cool landmarks such as the following:

  • World’s Longest Cave
  • Mammoth Cave National Park

There are also many streams and waterways throughout the state. There are many beautiful sights to see in many parts of the state. Kentucky is one of four states in the United States that is constituted as a Commonwealth. The state of Kentucky was originally part of Virginia. In 1972 Kentucky became the 15th state to join the union. In this article, we will discuss and cover VA Loans Kentucky With No Mortgage Lender Overlays.

Population Growth Of Veterans In The State Of Kentucky

Over the years the Gustan Cho Associates have had many inquiries for VA loans Kentucky in the state of Kentucky. Kentucky has a large population of active, retired, and reserve members of the United States Armed Forces. Due to the large population of both active and retired members of our military, Kentucky has one of the largest home buyers with VA Loans.

  • GCA Mortgage Group is a VA Lender in the state of Kentucky
  • This means we can now originate mortgages throughout the entire State
  • One of the most popular loan programs for our readers are VA loans Kentucky
  • VA loans are an amazing benefit offered to those who served our country

We offer VA loans without any lender overlays throughout parts of the nation and are expanding to more states!

The Many Benefits Of VA Loans Kentucky

VA Mortgages are hands down the best home loan program in the Country.

  • Lenders love to originate and fund VA Home Loans
  • Lenders offer 100% financing, closing cost credits, no mortgage insurance required, and the best benefit of all is lenders can offer lower mortgage rates on VA Loans than Conventional Loans
  • What is the catch for lenders?
  • The government guarantee against losses in the event borrowers foreclose

The catch for borrowers is that to qualify for VA Loans, they need to be veterans of our military with a valid Certificate Of Eligibility (COE).

VA Home Loans Versus Other Government And Conventional Loan Programs

What is the difference between VA housing loans and other government and conventional loan programs

What are some benefits of a VA loan?

The largest benefit of a VA loan is the ability to receive 100% financing:

  • Meaning no down payment required
  • VA loans do not have Mortgage Insurance or PMI  
  • VA loans are also assumable
    • Meaning you can sell the house to somebody and they can take over your current mortgage note at the present principal balance
  • VA loans will NEVER have a prepayment penalty
  • Sellers can pay up to 6% of the purchase price to help with closing costs
  • Veteran’s may use their VA loan as many times as they would like
  • Rule of thumb is you can only have one VA loan at a time

There are circumstances where you may obtain more than one VA loan.

Getting Started To Qualify For VA Loans With Direct Lender With No Overlays

Not all VA Lenders have the same VA Guidelines.

  • Department of Veterans Affairs does not require minimum credit score requirements or debt to income ratio requirements on VA Loans
  • However, many of our viewers become our borrowers because other lenders will require a 620 to 640 credit score or have a debt to income ratio cap of 45%
  • GCA Mortgage Group has ZERO OVERLAYS on VA Loans
  • We just follow VA Mortgage Guidelines and do not have any overlays
  • We have closed VA loans with under 600 credit scores and debt to income ratios over 60% at Gustan Cho Associates

Over 75% of our borrowers are folks who are either stressing during the mortgage process or have gotten a last-minute mortgage denial. We take over and will close on your VA Home Loan.

Documents Required To Start VA Pre-Approval Process

What items do I need to start a VA loan?

  • Last 60 Days Bank Statements – to source money for escrows
  • Last 30 Days Pay Stubs
  • Last Two Years W2’S
  • Last Two Years Tax Returns
  • Driver’s License
  • Certificate of Eligibility (please see COE Instructions Blog if you need to obtain your COE)
  • Name of contact to verify rental payments

Loan Limits On VA Loans Kentucky

What are the loan limits for VA Kentucky loans

The state of Kentucky has no maximum loan limit:

  • Homebuyers can purchase a home for more than $510,400
  • However, borrowers will then need a down payment
  • If buying a home for more than counties loan limit, buyers used to be responsible for 25% of the difference between the county loan limit and the purchase price

However, the VA no longer has a maximum loan limit starting in 2020.

Case Scenario Of Buying Higher Priced Home With VA Home Loans

Let’s go over a quick example on how VA loans used to work:

  • Purchase price $500.000 for a home in Louisville (the largest city based on population in the state of Kentucky)
  • County Loan limit = $453,100
  • $50,000 – $453,100 = $46,900
  • 25% of $46,900 = $11,725

To purchase a home for $500,000 in the state of Kentucky with a VA loan you will be required to put down $11,725 as a down payment. There will be closing costs on top of this number but keep in mind the seller can pay up to 6% of $500,000 for those costs. However, VA loans no longer has a maximum loan limit. If you need help calculating how much down payment you will need, you can always contact Mike Gracz from Gustan Cho Associates on 630-659-7644 or send an email to

We are experts in VA home loans. We pride ourselves on being up to date on all guidelines for VA loans. We are also experts in manual underwriting VA mortgages. Many companies no longer participate in manual underwriting, that is part of the reason we are able to help more borrowers than most lenders. Even if you’ve been issued a last-second denial please reach out to my team for assistance. If for any reason you do not qualify today, we will put you on a plan to qualify as soon as possible. We work with many families over 12 months before we are able to get them into the home of their dreams. We are available 7 days a week so do not hesitate to call us anytime.

Leave A Reply

Your email address will not be published.

Call Now ButtonCALL NOW