Homeownership in Kentucky is a dream for many people, but not everyone has access to a loan program as great as the VA home loan. So whether you are looking to settle down surrounded by beautiful ranches or pristine lakes, you’ll be thrilled with your new home.
With the average listing price of a home in Kentucky landing at $308,449, the VA loan’s signature $0-money-down benefit is a considerable advantage for Kentucky homebuyers.
See also: VA Loan Options for Other States
VA loans are made by private lenders and guaranteed by the Department of Veterans Affairs. Because private lenders make the loans and not the VA, you need to find a lender licensed in the state you plan to purchase or refinance.
For example, if you're purchasing a home in Lexington, KY, you'll need to find a lender licensed in Kentucky to do the loan.
VA borrowers in Kentucky should also consider the cost and impact of VA loan limits and property taxes when making their home purchase.
As of Jan 1, 2020, VA borrowers in Kentucky with their full VA loan entitlement are not restricted by VA loan limits. This means you can borrow as much as a lender is willing to lend without needing a down payment.
However, veterans without their full VA loan entitlement are still bound to Kentucky’s VA loan limits.
As of January 1, 2023, VA loan limits for all counties in Kentucky are $726,200.
Another consideration for VA buyers in Kentucky is property taxes. For certain VA buyers, there are exemptions.
You may be eligible for a property tax exemption in Kentucky if you meet one of the following conditions:
If you are required to pay property tax in Kentucky, the American Community Survey by the U.S. Census Bureau estimates you may pay the following in each county:
|County||Property Tax Rate|
View the graphic below to learn more about how VA loans work in Kentucky.