Loan Comparison Guide
Four programs cover most Kentucky home purchases, and choosing between them is mostly arithmetic on your file. Here is the side-by-side, followed by the shortcuts worth using.
Buying, selling, or planning a trip? Call or text Marcos: (859) 310-1209 · Send an inquiry
The Big Four at a Glance
- USDA: $0 down · 620+ credit · no monthly mortgage insurance · rural-eligible areas and income caps · owner-occupied. The local-region headliner.
- VA: $0 down · from ~580 · no monthly mortgage insurance · service eligibility required. If you qualify, it usually wins.
- FHA: 3.5% down · from 580 (lower with manual underwrite) · monthly insurance for the life of most loans · the credit-forgiveness champion.
- Conventional: 3% down · 620+ · insurance drops at equity · best pricing for stronger files, and the only one of the four that also does second homes and rentals.
The Decision Shortcuts
- Served in the military? Check VA first — it beats everything it is eligible for.
- Buying rural (most of our region)? Price USDA before anything.
- Credit rebuilding? FHA is built for you; refinance to conventional later.
- Strong credit, saving insurance money long-term? Conventional.
- Investment cabin? None of these — see DSCR.
The Only Real Answer
Programs compete on your actual numbers, not on generalities: your loan officer prices the eligible options side by side on your file and lets the payment math pick. That comparison takes one conversation and zero commitment.
Comparison Questions
Why would anyone pick FHA over USDA if USDA is $0 down?
Eligibility: USDA carries geographic and household-income limits, and not every property or buyer fits. FHA has no income cap and works everywhere — it is the fallback champion when USDA’s rules exclude a file.
All sixteen programs live on the financing hub. To get priced: (859) 310-1209.
Ready to talk about a real purchase? A free consultation puts local eyes on your plan — and connects you with the right licensed lender for this loan type.
Thinking About the Gorge?
Whether you’re buying a cabin, selling one, or just planning a first visit — talk to someone who lives and works here. Call or text, or send an inquiry and get a same-day reply.
Program highlights on this page reflect lender guidelines at the time of writing — programs change, and every term depends on a licensed lender’s approval of your specific file. Marcos Gil is a licensed Kentucky real estate agent, not a mortgage loan originator; rates, approvals, and loan terms come only from licensed lenders. Equal Housing Opportunity. Nothing on this page is a loan offer, loan approval, or commitment to lend by anyone.
Last updated: August 14, 2026