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Decatur, AL

The Best Mortgage Lenders in Decatur, AL

Compare verified mortgage lenders serving Decatur, Alabama. Find competitive rates on conventional, FHA, VA, and jumbo loans from experienced professionals.

3
Top Lenders
4.7
Avg Rating
1100+
Reviews
13
Loan Types

Available Loan Programs in Decatur

Conventional
FHA
VA
USDA
Jumbo
Refinance
Construction
First-time Homebuyer
Construction-to-Permanent
Lot Loans
Home Equity
Renovation
First-time Homebuyer Programs

Featured Mortgage Lenders

1

Mortgage Department

Redstone Federal Credit Union

★★★★☆
4.8/5

As Alabama's largest credit union with deep roots in the Decatur community, Redstone Federal Credit Union consistently ranks among the top mortgage lenders in North Alabama. They offer highly competitive rates, personalized service from local loan officers, and a comprehensive range of mortgage products. Their strong community presence and member-focused approach have earned them exceptional customer satisfaction ratings and numerous local awards for mortgage lending excellence.

Experience:72 years
Reviews:450 customer reviews
220 Wimbley Dr, Decatur, AL 35603

Loan Types:

ConventionalFHAVAUSDAJumboRefinanceConstructionFirst-time Homebuyer
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2

Mortgage Division

Progress Bank

★★★★☆
4.7/5

Progress Bank has been serving the Decatur community for generations with a reputation for reliable mortgage lending and exceptional local service. As a community bank with deep Alabama roots, they offer the advantage of local decision-making combined with competitive rates and flexible loan terms. Their mortgage team provides personalized guidance throughout the entire homebuying process, making them a top choice for both first-time and experienced homebuyers in the Decatur area.

Experience:138 years
Reviews:300 customer reviews
1410 14th Ave SE, Decatur, AL 35601

Loan Types:

ConventionalFHAVAUSDAConstruction-to-PermanentLot LoansRefinanceHome Equity
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3

Mortgage Services

First Federal Mortgage

★★★★☆
4.6/5

First Federal Mortgage, headquartered in nearby Huntsville, is one of North Alabama's most respected mortgage lenders with extensive experience serving the Decatur market. They specialize in providing customized mortgage solutions with competitive rates and exceptional customer service. With over 28 years in business and hundreds of positive reviews, they've built a strong reputation for making the mortgage process smooth and straightforward while offering a wide variety of loan programs to meet diverse borrower needs in the Decatur area.

Experience:28 years
Reviews:350 customer reviews
300 Clinton Ave W, Huntsville, AL 35801

Loan Types:

ConventionalFHAVAUSDAJumboRenovationRefinanceFirst-time Homebuyer Programs
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Frequently Asked Questions

Common questions about mortgage lending in Decatur, AL

What are the current mortgage rates like for homebuyers in Decatur, AL?

Mortgage rates in Decatur typically align with national averages but can vary based on local lender competition and property types. Currently, rates for 30-year fixed mortgages in the Decatur area range from the mid-6% to low-7% range, though local credit unions like Redstone Federal Credit Union often offer competitive rates. It's wise to compare rates from multiple Decatur-based lenders as they may offer special promotions for local homebuyers.

Are there any first-time homebuyer programs specifically available in Decatur?

Yes, Decatur homebuyers can access the Step Up Alabama program which offers affordable fixed-rate mortgages with down payment assistance. Additionally, the City of Decatur occasionally partners with local organizations to provide homebuyer education and assistance programs. Many local lenders also offer special first-time buyer programs with reduced down payment requirements and closing cost assistance.

How does Decatur's proximity to the Tennessee River affect mortgage lending requirements?

Properties in flood zones near the Tennessee River or Flint Creek may require flood insurance, which lenders will mandate as part of your mortgage. This can add $500-$2,000 annually to your housing costs. Your lender will order a flood certification during the appraisal process, and properties in high-risk zones may have stricter lending requirements and higher insurance premiums.

What unique closing costs should I expect when getting a mortgage in Decatur?

Beyond standard closing costs, Decatur homebuyers should budget for Morgan County recording fees, local transfer taxes, and specific municipal requirements. Properties within Decatur city limits may have different fee structures than those in the county. Local title companies typically charge between $500-$800 for title insurance, and you'll need to account for prorated property taxes based on Morgan County's assessment schedule.

How does Decatur's stable manufacturing job market impact mortgage approval?

Decatur's strong manufacturing base with employers like 3M, Daikin, and United Launch Alliance provides stable employment that lenders view favorably. Borrowers working in these established industries often find it easier to demonstrate job stability and income consistency, which are key factors in mortgage approval. Local lenders are familiar with these major employers and their compensation structures, which can streamline the income verification process.

Nearby Cities

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Why Choose a Mortgage Lender in Decatur?

Local Market Knowledge

Lenders who understand Decatur'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 Decatur and get competitive rates on your home loan.