The Best Mortgage Lenders in Butler, AL
Compare verified mortgage lenders serving Butler, Alabama. Find competitive rates on conventional, FHA, VA, and jumbo loans from experienced professionals.
Available Loan Programs in Butler
Featured Mortgage Lenders
Peoples Bank of Alabama
Peoples Bank of Alabama
As the primary local banking institution in Butler, Peoples Bank of Alabama has served the community for over a century with deep roots in Choctaw County. They offer personalized mortgage services with local decision-making, competitive rates for both purchase and refinance loans, and exceptional customer service. Their long-standing presence and commitment to the Butler community make them a top choice for residents seeking traditional banking relationships with mortgage expertise.
Loan Types:
First Federal Bank
First Federal Bank
First Federal Bank is a highly-rated regional lender serving Butler and surrounding areas with a strong reputation for mortgage lending. While headquartered in Mobile, they have extensive experience serving rural Alabama communities with competitive mortgage products. They offer specialized programs for first-time homebuyers and have received excellent customer reviews for their responsive service, competitive rates, and smooth closing processes throughout West Alabama.
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Movement Mortgage
Movement Mortgage, LLC
Movement Mortgage is a nationally recognized mortgage lender with strong presence in Alabama and excellent service ratings. They specialize in digital mortgage processes while maintaining local loan officer support, making them accessible to Butler residents. With thousands of positive reviews nationwide and a commitment to community reinvestment, they offer competitive rates, fast closings, and a wide variety of loan programs. Their mobile mortgage bankers regularly serve the Butler area with personalized service.
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Frequently Asked Questions
Common questions about mortgage lending in Butler, AL
What are the current average mortgage rates for homebuyers in Butler, AL?
Mortgage rates in Butler typically align with national averages but can be slightly higher due to the rural nature of Choctaw County. As of recent data, 30-year fixed rates generally range from 6.5% to 7.5%, though individual rates depend heavily on credit score and down payment. Local lenders familiar with Butler's market often offer competitive rates that might be better than national online lenders.
Are there any first-time homebuyer programs specifically available in Butler?
Yes, Butler homebuyers can access the Alabama Housing Finance Authority's Step Up program, which offers competitive interest rates and down payment assistance. Additionally, the USDA Rural Development loan program is particularly relevant for Butler properties, offering 100% financing with no down payment required for eligible borrowers in this designated rural area.
How does Butler's rural location affect the mortgage approval process?
Butler's rural classification can impact appraisals since comparable home sales might be limited, potentially requiring appraisers to look at properties in surrounding areas. USDA loans are especially favorable here, but you'll want to work with lenders experienced with rural properties who understand how to navigate these unique appraisal challenges in Choctaw County.
What types of properties in Butler typically qualify for USDA rural housing loans?
Most properties within Butler and Choctaw County qualify for USDA loans since the entire area is designated as rural by USDA standards. This includes single-family homes, manufactured homes (if permanently affixed and meeting requirements), and condos. The property must be located within USDA-eligible areas, which encompasses virtually all of Butler.
Are property taxes in Butler factored differently into mortgage calculations?
Butler's property taxes are relatively low compared to urban areas in Alabama, with Choctaw County averaging around 0.37% of assessed value. Lenders still include these taxes in your debt-to-income ratio calculations, but the lower tax burden often means borrowers can qualify for slightly higher loan amounts than in higher-tax jurisdictions.
Why Choose a Mortgage Lender in Butler?
Local Market Knowledge
Lenders who understand Butler's housing market can offer better guidance and competitive rates.
Multiple Loan Options
Access to conventional, FHA, VA, USDA, and jumbo loans tailored to your financial situation.
Proven Track Record
Work with lenders who have years of experience and hundreds of satisfied customers in Alabama.
Ready to Find Your Perfect Mortgage Lender?
Connect with top-rated mortgage professionals in Butler and get competitive rates on your home loan.