Conventional loans can be a fixed rate mortgage or an adjustable rate mortgage.

What types of Property are Eligible for Conventional Loans?

  • Primary residences
    • Investment properties
    • Second homes
    • 1-4 family residences
    • Manufactured homes
    • Planned unit developments
    • Condos
    • Modular Homes

Conventional

  • Gift Funds Allowed
  • 97% LTV
  • DTI up to 50%
  • One year tax returns for self employed borrowers, FHLMC only

Conventional, No MI (Mortgage Insurance)

  • Max LTV: 95%
  • DTI up to 50%
  • Fixed and ARM available
  • $417,000 loan amount max

Conventional 80/15/5

  • Borrower can put as little as 5% down to avoid MI
  • Fixed and ARM Available
  • $424,100 loan amount max on the first mortgage portion
  • 20 year fixed second with no balloon payment

Already A Home Owner?

Borrowers can refinance their primary residence, investment properties and second homes, and/or turn their equity into cash using a cash-out transaction. One final consideration of conventional refinance loans is the Home Affordable Refinance Program (HARP). This program is designed to help homeowners with little or no equity in their property refinance into a lower rate conventional loan.

A great option if your credit isn’t great and you are looking for a lower down payment.

  • 3.5% down payment
  • DTI up to 56%
  • Seller can pay  up to 6% of the borrowers closing costs and prepaids
  • Maximum loan amount, dependent on county, see your SMC mortgage banker for details
  • Low closing costs
  • Easy credit qualifying,credit scores down to 580 allowed
  • Not just for first time home buyers
  • Non-Occupying cosigners allowed
  • A gift from a family member, employer or charitable organization can be put toward the down payment
  • Manufactured homes qualify
  • 90 days seasoning
  • Fixed and ARM available
  • Builder trade allowed
  • Section 8 Voucher
  • No credit score loans available

Already Have an FHA Home Loan?

How about a streamline refinance?

  • No appraisal required
    • Lower credit requirements
    • Limited documentation to help you qualify

A great option for those who may have a low to moderate income households.

Stockton was Kentucky’s #1 rural housing lender three years in a row

  • 100% financing, no down payment is required
  • DTI up to 45.99%
  • Single family detached, single family attached, new manufactured homes allowed and approved condominiums.
  • Non-traditional credit histories may be accepted
  • Flexible credit guidelines, 580 minimum credit score allowed
  • No maximum purchase price
  • Closing costs and prepaids can be rolled into the loan in certain situations
  • Income restrictions apply
  • Please check address eligibility with your SMC loan officer

Are You A Veteran? You Proudly Served Your Country, Now Let Us Serve You.

If you’re an honorably discharged veteran, are currently serving on active duty or have completed a total of six years of service in the National Guard or selected reserves, you are eligible for a VA loan. Certain surviving spouses of veterans are also eligible.

  • 100% financing, no down payment is required
  • No monthly MI
  • Low closing costs and may be paid by the seller
  • Flexible credit guidelines, score down to 580
  • No income restrictions
  • All geographic areas are eligible
  • Previous homeowners & First time home buyers welcomed
  • 100% cash out refinance available

VA Renovation

  • 100% financing, no down payment is required
  • No income restrictions
  • Owner occupied, single family residence only
  • Minimum Credit Score 620
  • Contractor must be from the approved list provided by the VA
  • Work must be completed within 90 days
  • Structural changes are not permitted
  • Renovations must be VA approved, to make the house safe, sanitary and structurally sound

Home Improvement Loans

These loans can be used to purchase or refinance an existing property and include the cost for home improvement and necessary repairs.

FHA 203k

Learn more about the FHA 203k Fixer Upper loan here.

  • Minimum down payment requirement, 3.5%
  • Borrower must qualify for FHA financing (click here to learn about the FHA financing requirements.)
  • Owner occupied only
  • Fixed and ARM available
  • Work must commence within 30 days of closing, must be completed within six months
  • Borrower must select a qualified contractor for the project
  • Seller can pay up to 6% of the borrowers closing costs and prepaids

FHA 203k Limited

  • Maximum of 35k worth of rehab and repairs
  • Non structural repairs permitted

FHA 203k Standard

  • Minimum of 5k worth of rehab and repairs
  • No limit to the scope of repairs; structural changes, additional buildings, i.e. garages and large scale remodels are permitted

FNMA Homestyle

  • MAx LTV: 95%
  • Owner occupied, second homes and investment properties
  • $35,000 maximum with all fees
  • Non structural repairs permitted

FNMA HomeReady

  • Not just for first time homebuyers
  • May own other residential property
  • Maximum LTV: 97% (1 Unit purchase)
  • No minimum borrower contribution (1 Unit purchase)
  • Home ownership education is required
  • Income limits exist, see SMC mortgage banker for details
  • Single family principle residence, some condos and manufactured homes are eligible
  • Gifts, grants, and community seconds accepted sources of funds for down payment and closing costs
  • CLTV up to 105% with eligible community seconds

VA Renovation

  • Veterans, active duty, some national guard and some spouses are eligible
  • 100% financing, no down payment required
  • No income restrictions
  • Owner occupied only
  • Minimum Credit Score 620
  • Contractor must be from the approved list provided by the VA
  • Work must be completed within 90 days
  • Structural changes are not permitted
  • Renovations must be VA approved, to make the house safe, sanitary and structurally sound

A great loan option for a homebuyer looking to earn income from their property.

  • Must be primary residence
  • Fixed rates with 10, 15, 20, 25, or 30 year terms | Down Payment as low as 5%
  • Dwelling value must be greater than or equal to 30% of the appraised value
  • Minimum credit score 680
  • Must consist of a minimum of 5 acres
  • One note and mortgage for the entire acreage and home
  • Competitive fixed rate pricing
  • LTVs 80/95

Jumbo Loan

  • This is a great option for loan amounts that are too large for a conventional loan
  • Allows the borrower to have only one loan to cover the entire amount

This loan is available to those with a minimum certification of M.D., D.O., D.D.S., or D.M.D.

  • Medical doctors including podiatrists, Ophthalmologists and Veterinarians.
  • An employment contract or verification of terms of employment must be provided.
  • 5% minimum down payment
  • Primary Residence only, 1 Unit
  • Medical Student Loan Debt may not be included in Debt to Income Ratio
  • Gift Funds can be applied to the down payment
  • Flexible loan programs up to $1,000,000

Construction to Permanent, Modular and Manufactured Homes

  • Available for modular and manufactured homes
  • The loan closes prior to construction, protecting the builder and allows the borrower more freedom
  • There is only one closing so the borrower only covers one set of closing costs and changes in circumstances during home construction will not impact the funding.
  • All forms of government loans are permitted; Conventional, RHS, FHA, and VA.

Stockton is the #3 KHC Delegated Lender by Volume

KHC 97% Conv.- No MI

  • Purchase price up to 243k
  • 680 credit score
  • No mortgage insurance
  • Can be used in conjunction with MCC credits
  • 3% down payment can come from KHC Down Payment Assistance funds
  • DTI up to 50%
  • Borrower can only own one home
  • Prior homeownership allowed

KHC

  • All KHC loans underwritten by SMC underwriters
  • DAP funds can be used with KHC first mortgage products
  • DTI up to 50%
  • Credit score down to 640
  • New GNMA product allows second time homeowners to purchase a home in all Kentucky counties with no money down
  • On secondary FHA/VA program the borrower can own more than one property
  • Reduced MI rates

Indiana State Sponsored Program

• First time and non-first time homebuyers
• Owner occupied only
• Borrower can only own one home
• Minimum Score FHA 660 / Conventional 640
(reduced MI-18%)
• DAP- No Interest/ No Payment (2 year recoverable)
• DAP up to 3.5% for FHA and 3% for conventional of purchase price
• DTI up to 45%
• MCC Available with IHCDA and non IHCDA financing
• DAP is a silent second—forgiven after 2 years
• 30-year fixed rate loans
• No purchase price limit
• Income requirements apply

THDA Great Choice Program

  • 30 year fixed rate
  • 640 Minimum credit score
  • Maximum household income & purchase price by county
  • Down payment assistance available
  • First time homebuyers, repeat homebuyers (with criteria)
  • Military programs available with rate reduction
  • MCC certificates available
  • Maximum LTV 96.50 but DPA is available to all homebuyers for up to 5% to cover down payment and closing costs
  • Maximum DTI with approve eligible 45%

Loan Requirements

• 1-4 family properties, condos, PUDs
• Income/Purchase Price limits – Use ‘Lender Online’ Tool (broken down by household size and county)
• DPA is true 2nd mortgage
• Homebuyer education is required
• Conventional, VA, USDA 640+ 45% max DTI (660+ 50% DTI)
• FHA 660+ 45% DTI
• 3 years tax returns required on all

Timeline

• Day 1 – make reservation for funds
• Automatic email sent tom borrower to receive counseling

Down Payment Assistance (First Time Homebuyer)

• 2.5% or 5%
• 2nd mortgage forgivable 2nd
• Can be used for closing costs or down payment
• Forgiven after 7 years (cannot sell or refi during that period or due in full)

Grants for Grads

• Graduated within 48 months with associate degree or higher
• Rates are lower than traditional first time home-buyer
• 2nd mortgage is forgivable at 20% per year for 5 years
• May be subordinated

HFA Preferred

• Based on Fannie Homeready
• 97% LTV
• No loan level price adjustments
• Can be combined with DPA up to 102% CLTV
• Cannot own other properties

Ohio’s Hero Program

• Active military or veterans
• Fire fighter/EMT/Police/Teachers/Healthcare (direct patient care, FT, licensed)
• Rates are lower than first time home buyer

Net Home Loan Program

• Not required to be first time homebuyer
• Can have ownership interest in primary in the last 3 years
• Only available with down payment assistance

MTC Plus Program

• Mortgage credit certificate program
• *MTC basic can be offered with our own product (20% tax credit)

MI Home Loan

  • Available for all first-time homebuyer and some previous homeowner, dependent on property location
  • Some approved condos and manufactured homes
  • Credit Score down to 640- Alternate Credit Accepted
  • No Hombuyer Education required
  • LTV 97%
  • DTI 43%
  • Maximum purchase price- $224,500
  • Household income limits apply

Down Payment Assistance

  • Assistance up to $7,500
  • Must be the primary residence
  • Homebuyer education is required
  • Asset restriction of $10,000

Step Forward Down Payment Assistance

  • $15,000 (must use all funds)
  • 20% Forgiven/YR
  • Homebuyer Education Required
  • Must be primary residence
  • Approved condos and new or existing (affixed) manufactured housing

MI Flex Loan

  • Primary residence required
  • Some approved condos, no manufactured housing
  • Credit Score down to 660
  • Homebuyer education required for conventional
  • LTV 97%
  • DTI 45%
  • Maximum purchase price- $224,500
  • Household income limits apply

Down Payment Assitance

  • Assistance up to $7,500
  • Not required to be primary residence
  • Homebuyer education is required
  • Asset restriction of $10,000