KHC Offers 2 Loan Programs To KY 1st Home Purchasers

Special Loan Program For 1st Time Buyers In KY

Looking to purchase your 1st residence in Kentucky but find yourself at a loss as to where to turn for a mortgage loan? Look no further. First time home buyer loans in Kentucky are provided by the Kentucky Housing Corporation (KHC). Not only do they provide two choices for your mortgage loan, they also provide other outstanding programs for 1st time home buyers.


Kentucky First Time Home Buyer Loans
Kentucky First Time Home Buyer Loans

Here are some details on KHC’s loan program:

Loan Programs

KHC offers two different funding sources: Secondary Market and MRB.


  • First-time and repeat homebuyers statewide
  • 30-year fixed interest rate
  • Principal residence ONLY
  • Purchase Price Limit:  $283,900
  • Borrower must meet KHC’s Secondary Market Income Limits


  • 30-year fixed interest rate
  • Principal residence ONLY
  • Purchase price limit:  $255,500
  • Borrower must meet MRB income guidelines
  • Some MRB KHC loans are subject to a federal recapture tax. However, KHC has implemented a Recapture Tax Guarantee Program for all loans that close after October 1, 2006.  The Recapture Tax Guarantee Program will reimburse homeowners if they are subject to pay the Federal Recapture Tax on their KHC mortgage loan upon the sale of their home.

For complete details on this loan, including contact information and instructions on how to apply, please visit this KHC loan page.

More Kentucky First Time Buyer Resources

In addition to the above first time homebuyer loans from KHC, there are other resources available as well. Be sure to visit Kentucky down payment assistance, as well as our page that shares details about grants available in KY to purchase your first home.