Home financing in Boyd County.

Home financing — commonly called a mortgage — is a loan that lets you buy a house by paying for it gradually over time, usually 15 to 30 years. The lender pays the seller upfront, and you repay the lender in monthly installments that include principal (the amount you borrowed) and interest (the cost of borrowing). Most loans also roll in property taxes and homeowner's insurance through an escrow account, so those bills are spread across your monthly payment.

There are several types of home loans:

• **Conventional loans** — offered by banks and credit unions, usually requiring a credit score of 620 or higher and a down payment of 3–20%.

• **FHA loans** — backed by the Federal Housing Administration, allowing lower credit scores (as low as 580) and down payments as low as 3.5%. These are popular with first-time buyers.

• **USDA loans** — for homes in eligible rural or semi-rural areas. Parts of Boyd County's outskirts may qualify. No down payment required.

• **VA loans** — for eligible veterans and active-duty service members. No down payment, no private mortgage insurance.

• **ITIN loans** — for buyers who do not have a Social Security number but do have an Individual Taxpayer Identification Number (ITIN). Several local and regional lenders offer these.

Understanding which loan type fits your situation is the first step — and a local housing counselor can help you figure that out for free.

Boyd County is anchored by the city of Ashland, a working-class community with roots in steel, manufacturing, and healthcare. Major employers include King's Daughters Medical Center, Ashland Inc. (now Valvoline), and a network of small businesses, contractors, and tradespeople throughout the Tri-State area (Kentucky, Ohio, West Virginia).

If you work in any of these fields — or you're self-employed as a solo contractor, roofer, painter, landscaper, or trades worker — you can absolutely qualify for a home loan. Here's what lenders generally look for:

• **Steady income** — Two years of employment or self-employment history is ideal, but some programs accept less.

• **Debt-to-income ratio (DTI)** — Your monthly debt payments (car, student loans, credit cards) should generally be less than 43–50% of your gross monthly income.

• **Credit score** — A score of 580 or above opens FHA options. Some ITIN lenders don't rely on FICO at all and instead review rent payment history and utility records.

• **Down payment savings** — Even 3% down on a $120,000 home (close to Boyd County's median) is $3,600. Down payment assistance programs can cover this entirely.

• **Residency status** — You do not need to be a U.S. citizen to buy a home in Kentucky. Permanent residents, visa holders, and ITIN filers all have legal pathways.

Boyd County's home prices are generally more affordable than national averages, which means your dollar goes further here than in most parts of the country.

Gathering your paperwork before you talk to a lender saves time and reduces stress. Here is a practical checklist:

**For all borrowers:**

- Government-issued photo ID (driver's license, passport, or consular ID/matrícula consular)

- Social Security number OR ITIN (Form W-7 from the IRS if you don't have one yet)

- Two years of tax returns (federal, signed)

- Two years of W-2s or 1099s

- Two most recent pay stubs (if employed)

- Two to three months of bank statements

- Proof of any other income (rental income, child support, alimony)

- Landlord contact information and 12–24 months of rent payment history

**If self-employed or a solo contractor:**

- Two years of business tax returns (Schedule C or partnership returns)

- A current profit-and-loss statement (a simple spreadsheet works)

- Business bank account statements

- Contracts or invoices showing ongoing work

**For ITIN borrowers specifically:**

- ITIN letter from the IRS

- Two years of ITIN-filed tax returns

- Additional alternative credit documentation: utility bills, insurance payments, cell phone bills paid on time

Tip: Keep all documents organized in a folder — physical or digital. You may need to submit them to more than one lender as you shop around.