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Florence, AL

The Best Mortgage Lenders in Florence, AL

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

3
Top Lenders
4.3
Avg Rating
600+
Reviews
8
Loan Types

Available Loan Programs in Florence

Conventional
FHA
VA
USDA
Jumbo
Refinance
Construction
Lot Loans

Featured Mortgage Lenders

1

Regions Mortgage

Regions Bank

★★★★☆
4.2/5

Regions Bank stands out as a top mortgage lender in Florence with their strong local branch presence and comprehensive mortgage services. As one of Alabama's largest financial institutions with deep roots in the state, they offer the advantage of local decision-making combined with the resources of a major regional bank. Customers consistently praise their knowledgeable local loan officers who understand the North Alabama market, competitive rate offerings, and streamlined application process. Their extensive experience with various loan types including government-backed programs makes them particularly valuable for first-time homebuyers in the Florence area.

Experience:25 years
Reviews:185 customer reviews
201 North Court Street, Florence, AL 35630

Loan Types:

ConventionalFHAVAUSDAJumboRefinance
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2

Redstone Federal Credit Union Mortgage

Redstone Federal Credit Union

★★★★☆
4.5/5

While based in Huntsville, Redstone Federal Credit Union consistently ranks among the highest-rated mortgage lenders serving the Florence area with their exceptional member service and competitive rates. As one of Alabama's largest credit unions, they offer significant advantages including lower fees and more personalized service than many traditional banks. Their mortgage team receives outstanding reviews for their responsiveness, attention to detail, and ability to close loans efficiently. RFCU's strong digital mortgage platform combined with local underwriting expertise makes them a top choice for Florence homebuyers seeking both convenience and personalized service.

Experience:18 years
Reviews:320 customer reviews
220 Wynn Drive NW, Huntsville, AL 35893

Loan Types:

ConventionalFHAVAUSDAConstructionRefinance
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3

First Metro Mortgage

First Metro Bank

★★★★☆
4.3/5

First Metro Mortgage, the lending division of locally-owned First Metro Bank, brings exceptional local expertise to Florence homebuyers with their deep understanding of the Northwest Alabama real estate market. As a community bank with strong ties to the area, they offer the advantage of local underwriting and decision-making, which often results in faster closings and more flexible loan terms. Their mortgage specialists receive consistent praise for their personalized service, thorough communication throughout the process, and creative solutions for unique borrowing situations. Their specialization in construction and lot loans makes them particularly valuable for buyers looking to build in the growing Florence area.

Experience:22 years
Reviews:95 customer reviews
615 South Court Street, Florence, AL 35630

Loan Types:

ConventionalFHAVAUSDAConstructionLot Loans
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Frequently Asked Questions

Common questions about mortgage lending in Florence, AL

What are the current average mortgage rates for homebuyers in Florence, AL?

Mortgage rates in Florence typically align with national averages but can vary by lender. As of late 2024, conventional 30-year fixed rates in the area generally range from 6.5% to 7.25%. It's wise to compare rates from local Florence lenders like First Metro Bank and CB&S Bank, as they may offer competitive terms specific to the Northwest Alabama market.

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

Yes, Florence homebuyers can access the Step Up program through the Alabama Housing Finance Authority, which offers competitive interest rates and down payment assistance. Additionally, the City of Florence occasionally offers local homebuyer assistance programs, so check with the Florence Planning Department for any current city-specific incentives for first-time purchasers.

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

Properties in designated flood zones near the Tennessee River or Cypress Creek may require flood insurance, which lenders will mandate as a loan condition. Your mortgage lender will order a flood certification during processing, and if required, you'll need to secure a policy before closing—factor this into your monthly housing budget when considering waterfront or low-lying properties.

What unique closing costs should Florence homebuyers expect compared to other Alabama cities?

Florence homebuyers should budget for standard Alabama closing costs plus local specifics like Florence city property taxes and potentially higher title insurance fees due to the area's historic properties. Unlike some larger cities, Florence typically has lower transfer taxes, but you may encounter unique fees related to USDA loans, which are common in surrounding rural Lauderdale County.

Are USDA loans common in Florence and what areas qualify?

Yes, USDA loans are very popular in Florence and throughout Lauderdale County, as much of the area qualifies for USDA rural development financing. These zero-down-payment loans are particularly attractive for homes in Florence's outskirts and surrounding communities. Check the USDA eligibility map specifically for Florence addresses, as some central areas may not qualify despite the county's overall rural designation.

Mortgage Insights

Finding Your Florence Home: Why a Local Commercial Mortgage Broker Might Be Your Secret Weapon

When you're searching for "commercial mortgage broker near me" in Florence, Alabama, you might think that's a query strictly for business owners. But for the savvy homebuyer, especially one considering a unique property or a multi-unit investment, connecting with the right local commercial broker can unlock doors you didn't even know were open. Florence's charming historic districts, growing downtown, and the presence of the University of North Alabama create a diverse housing market where traditional residential loans don't always fit the bill.

So, how does this apply to you as a homebuyer? Imagine falling in love with a beautiful Victorian in the historic district that has a legal apartment suite, or a property along Wilson Park that could serve as both a home and a professional office. Perhaps you're eyeing a duplex near UNA as a first step into building investment income. A standard residential mortgage often has strict rules about income-generating units or commercial use. This is where a Florence-based commercial mortgage broker becomes an invaluable ally. They specialize in structuring loans for mixed-use properties, multi-family dwellings (like a small apartment building), or even significant renovations of non-standard homes that a typical bank might shy away from.

For homebuyers in the Shoals, working with a local expert is crucial. A broker who knows Florence understands the specific value of neighborhoods like the Arts and Entertainment District versus areas closer to Cox Creek Parkway. They can accurately assess the income potential of a property based on local rental rates and commercial demand, which directly impacts your loan eligibility and terms. They're also familiar with Alabama's regulatory environment and can navigate any state-specific requirements or title considerations.

From a practical standpoint, start by asking your real estate agent for referrals to reputable local commercial brokers. When you interview them, ask specifically about their experience with residential-income hybrid properties in the Florence area. Inquire about loan products like FHA 203(k) loans for renovations or portfolio loans held by local Alabama banks and credit unions, which can offer more flexibility than large national lenders. The Tennessee Valley Authority (TVA) region also has specific energy efficiency programs that a knowledgeable broker might help you leverage for certain property types.

Your actionable advice is this: Don't automatically rule out a property because its use seems complex. Before you walk away from a perfect-for-you home with an apartment or shop space, have a conversation with a Florence commercial mortgage broker. They can provide a clear pre-qualification picture, helping you understand the financing possibilities and empowering you to make a competitive, informed offer. In a market as distinctive as Florence, having this specialized expertise on your team can be the key to securing not just a house, but a home that also works for your financial future.

Nearby Cities

Explore mortgage lenders in cities near Florence, AL

Why Choose a Mortgage Lender in Florence?

Local Market Knowledge

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