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Lancaster, IL

The Best Mortgage Lenders in Lancaster, IL

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

3
Top Lenders
4.7
Avg Rating
550+
Reviews
8
Loan Types

Available Loan Programs in Lancaster

Conventional
FHA
VA
USDA
Jumbo
Refinance
ARM
Reverse Mortgages

Featured Mortgage Lenders

1

Fairway Independent Mortgage

Fairway Independent Mortgage Corporation

★★★★☆
4.7/5

Fairway Independent Mortgage is a highly-rated lender with a strong regional presence in southern Illinois, known for its competitive rates, personalized service, and extensive loan options. With a branch in Effingham, they actively serve Lancaster and surrounding rural areas, offering expert guidance for first-time homebuyers and refinancing. Their commitment to customer satisfaction and community involvement makes them a top choice for mortgages in the region.

Experience:28 years
Reviews:180 customer reviews
1000 Avenue of Mid-America, Effingham, IL 62401

Loan Types:

ConventionalFHAVAUSDAJumboRefinance
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2

Guaranteed Rate

Guaranteed Rate, Inc.

★★★★☆
4.8/5

Guaranteed Rate is a nationally recognized mortgage lender with excellent customer ratings and a robust online platform, making it accessible for clients in Lancaster and across Illinois. They offer a wide array of loan products with competitive rates and efficient processing. Their experience and strong track record in the Midwest ensure reliable service for home purchases and refinancing, backed by high customer satisfaction reviews.

Experience:24 years
Reviews:250 customer reviews
3940 N. Ravenswood Ave, Chicago, IL 60613

Loan Types:

ConventionalFHAVAJumboARMRefinance
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3

New American Funding

New American Funding, LLC

★★★★☆
4.6/5

New American Funding is a diverse lender known for its focus on community lending and support for first-time homebuyers, with a branch in O'Fallon that serves the Lancaster area. They provide competitive rates, educational resources, and a variety of loan programs, including USDA loans suited for rural communities. Their strong customer service and commitment to inclusivity have earned them high ratings and a loyal client base in Illinois.

Experience:21 years
Reviews:120 customer reviews
1010 Central Park Dr, O'Fallon, IL 62269

Loan Types:

ConventionalFHAVAUSDAJumboReverse Mortgages
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Frequently Asked Questions

Common questions about mortgage lending in Lancaster, IL

What are the current average mortgage rates for homebuyers in Lancaster, IL?

Mortgage rates in Lancaster typically align with national averages but can be influenced by local economic factors. As of late 2024, conventional 30-year fixed rates in the area generally range from 6.5% to 7.25%, though rates vary by lender, credit score, and loan type. Working with a local lender familiar with Stephenson County's market can help you secure competitive rates.

Are there any first-time homebuyer programs specific to Lancaster, IL?

Yes, Lancaster homebuyers can access the Illinois Housing Development Authority's (IHDA) programs like the 1stHomeIllinois loan, which offers competitive interest rates and down payment assistance. Additionally, some local lenders may offer special programs for first-time buyers purchasing in Stephenson County. These programs can provide valuable support given Lancaster's affordable housing market.

How does Lancaster's rural location affect the mortgage process?

Lancaster's rural setting means some properties may require USDA loans, which offer 100% financing and are popular in the area. Appraisals might take slightly longer due to fewer comparable properties, and well/septic inspections are often required. Working with lenders experienced in rural Illinois properties can streamline this process.

What are the property tax considerations for Lancaster homebuyers?

Lancaster property taxes in Stephenson County typically range from 1.8% to 2.2% of assessed value, which is moderate for Illinois. Your lender will factor these taxes into your debt-to-income ratio calculations. First-time buyers should investigate potential property tax exemptions available through the county assessor's office.

How competitive is Lancaster's housing market for mortgage financing?

Lancaster's market remains relatively balanced, with median home prices around $150,000-$180,000 making it accessible for many buyers. While not as competitive as larger Illinois markets, well-priced homes still attract multiple offers, so having mortgage pre-approval from a reputable local lender is crucial for making competitive offers in this rural community.

Nearby Cities

Explore mortgage lenders in cities near Lancaster, IL

Why Choose a Mortgage Lender in Lancaster?

Local Market Knowledge

Lenders who understand Lancaster'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 Illinois.

Ready to Find Your Perfect Mortgage Lender?

Connect with top-rated mortgage professionals in Lancaster and get competitive rates on your home loan.