Home Loan Products

Conventional

• Most common mortgage type
• Monthly principal and interest payments on a conventional fixed-rate mortgage remain the same for the life of the loan
• May offer the best fixed rates
• Less documentation

Home Possible Advantage/Home Ready

• Affordable solution for First-Time and Repeat Buyers
• Purchase and no cash-out refinances
• Low-to-Moderate income borrowers
• Families in underserved areas
• Maximum loan-to-value 97%
• Eligible annual income up to 100% of area median income or higher in high-cost designated area and no income limit in underserved areas (contact your Mortgage Loan Officer for details)
• Gifts from related persons and other sources of funds permitted for down payment and closing cost

Federal Housing Authority (FHA)

• Government loan program with more flexible qualification criteria than conventional loans
• Maximum loan-to-value 96.5%
• Gifts from related persons and other sources of funds permitted for down payment and closing costs
• Seller can assist with up to 6% of purchase price towards closing costs
• Financing for manufactured homes available

Veterans Administration (VA)

• Mortgage options for eligible active Military, Veteran, Reservist, or National Guard
• 100% financing available for purchases or refinances
• Financing for manufactured homes available

United States Department of Agriculture (USDA) - Purchases Only

• 100% financing
• Low interest rates and low mortgage insurance
• Gifts from related persons and other sources of funds permitted for down payment and closing costs
• Seller can assist with up to 6% of purchase price towards closing costs
• Income limitations apply

Kentucky Housing

• Low interest rates
• Principal residence only
• Purchase price and income limitations
• Conventional No Mortgage Insurance Program
• Conventional with Mortgage Insurance Program
  • Federal Housing Authority (FHA)
  • Veterans Administration (VA)
  • Rural Housing Service (RHS)
  • Home Buyer Tax Credit
  • Mortgage Revenue Board (MRB) Special Funding

Other Options

• Jumbo loans
• Adjustable rate mortgage (ARM) loans
• Lender Paid Mortgage Insurance (LPMI)
• Extended rate lock options for new construction

Homeownership Opportunity Program

The Homeownership Opportunity Program (HOP) grant helps first-time homebuyers with assistance for down payment, closing costs, and counseling costs. Up to $20,000 per household may be requested.

To qualify for a HOP grant you must:

• be a first-time homebuyer* at or below 80% area median income;
• purchase a single-family home, condominium, duplexes, or modular unit;
• contribute a minimum of $1,000 towards the purchase of the home;
• complete a required state, HUD, or FHLBank Indianapolis-approved homebuyer counseling course - HOP funds may be used to cover the cost of counseling
• not allow total housing debt to exceed 38% of total household gross income

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*Indiana residents only. Funding will be available on a first-come, first-served basis, until FHLBI grant allocation has been exhausted.

Neighborhood Impact Program

Homeowners that meet this program’s requirements can receive up to $15,000 in funding through the Neighborhood Impact Program (NIP) to make eligible repairs to their homes.

What repairs are eligible? Things such as water heater, siding, wall insulation, gutters, HVAC, windows, caulking, and more are eligible with the NIP program.

Requirements:

• Your gross household income must be at or below 80% Area Median Income (AMI).
• You must obtain a bid from two (2) independent contractors.
• You must provide all requested income and other documentation.
• All persons listed on the deed must live in the home (except for a child for estate planning purposes).
• You must have lived in the home for at least six (6) months prior to applying for NIP.
• Your mortgage and property taxes must be paid as agreed and current.
• Your home is a single-family home, condominium, duplex, or manufactured home with certain restrictions.

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*Indiana residents only. Funding will be available on a first-come, first-served basis, until FHLBI grant allocation has been exhausted.

HomeBoost

HomeBoost is a minority down payment assistance program that provides $15,000 in grant funding to first-time homebuyers purchasing a home in Indiana.

Who qualifies?

First-time homebuyers intending to purchase a primary residence in Indiana who:

• identify as Black or African American, Asian, Hispanic, Indian American or Alaska Native, and/or Native Hawaiian or Other Pacific Islander;
• have a household income at or below 120% of the local Area Median Income.

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*Indiana residents only

Down Payment Assistance Program

Kentucky Housing Corporation's (KHC) Down Payment Assistance Program (DAP) helps borrowers pay down payment, closing, and prepaid costs without spending money out of pocket on the purchase of new or existing properties.

Requirements:

• Purchase price up to $481,176 with Secondary Market​ or Mortgage Revenue Bond (MRB) income limits.
• Assistance in the form of a loan up to $10,000 in $100 increments.
• Repayable over a 10-year term at 3.75 percent.
• Available to all KHC first-mortgage loan recipients.

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*Kentucky residents only

Mortgage Revenue Bonds

Kentucky Housing Corporation (KHC) is offering a below-market, 30-year fixed interest rate to first-time or repeat homebuyers through their Mortgage Revenue Bond (MRB) program.

Who qualifies?

• First-time homebuyers in non-targeted areas
• First-time and repeat homebuyers in targeted areas
• 30-year fixed interest rate
• Principal residence ONLY
• Purchase Price Limit: $481,176
• Borrower must meet KHC's MRB Income Limits

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*Kentucky residents only