2025 · Kentucky
In 2025, 7,129 investment-property loans worth $1.4B were originated on single-family 1-4 unit homes in Kentucky. Here's how those terms compared to the rest of the country.
Investor rate premium
75 bps
U.S. median: 76 bps
Denial rate
10.7%
U.S. median: 17.5%
DSCR / business-purpose
62%
U.S. median: 72%
Median LTV
75%
U.S. median: 74%
Since 2024 in Kentucky
Rate premium
100 bps → 75 bps
-25 bpsInvestor loans
6,168 → 7,129
+15.6%Denial rate
11.9% → 10.7%
-1.2 ptsDSCR / business-purpose
59% → 62%
+2.6 ptsInvestors in Kentucky borrowed at a median rate of 7.25%, versus 6.5% for owner-occupants — a 75 bps premium that ranks 31st of 51 states.
Their applications were denied 10.7% of the time. The leading reasons for denial were collateral, debt-to-income ratio, other.
62% of investor loans were business- or commercial-purpose — the category that includes DSCR and LLC-held loans — and 14% were cash-out refinances. The typical loan-to-value was 75%, implying about 25% down.
In 2025, the median investment-property loan in Kentucky carried a rate of 7.25% versus 6.5% for an owner-occupant — a premium of 75 bps. That ranks 31st of 51 states (1 = highest premium).
10.7% of investment-property applications were denied in Kentucky in 2025, the 44th-highest denial rate among the 51 states. The most common denial reasons were collateral, debt-to-income ratio, other.
62% of investor loans in Kentucky were flagged as primarily business or commercial purpose — the bucket that includes DSCR and LLC-held loans (43rd of 51). The median loan-to-value was 75%.
Source: CFPB / FFIEC HMDA combined Modified LAR (loan-level public dataset, early release), 2025. Single-family 1-4 unit, site-built loans; financed purchases only.