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Peoria, IL

The Best Mortgage Lenders in Peoria, IL

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

3
Top Lenders
4.7
Avg Rating
1050+
Reviews
7
Loan Types

Available Loan Programs in Peoria

Conventional
FHA
VA
USDA
Jumbo
Refinance
ARM

Featured Mortgage Lenders

1

Fairway Independent Mortgage

Fairway Independent Mortgage Corporation

★★★★☆
4.8/5

Fairway Independent Mortgage is a top-rated lender known for its competitive rates, personalized service, and extensive loan options. With a strong local presence in Peoria, they excel in customer satisfaction, offering guidance from application to closing. Their experienced team and commitment to community involvement make them a trusted choice for homebuyers in central Illinois.

Experience:28 years
Reviews:350 customer reviews
7600 N. University St, Peoria, IL 61614

Loan Types:

ConventionalFHAVAUSDAJumboRefinance
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2

New American Funding

New American Funding

★★★★☆
4.7/5

New American Funding stands out for its diverse loan programs, including options for first-time homebuyers and underserved communities. They have a reputation for fast processing, competitive rates, and high customer satisfaction. With a national presence and dedicated support for Illinois residents, they provide reliable mortgage solutions tailored to Peoria's market.

Experience:21 years
Reviews:400 customer reviews
14511 Myford Rd, Irvine, CA 92606 (serves Peoria through local loan officers and online services)

Loan Types:

ConventionalFHAVAUSDAJumboARMRefinance
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3

Movement Mortgage

Movement Mortgage, LLC

★★★★☆
4.6/5

Movement Mortgage is praised for its efficient loan process, local expertise, and community focus. They offer a wide range of mortgage products with competitive rates and excellent customer service. Their Peoria branch ensures personalized attention, making them a preferred lender for homebuyers seeking reliability and support throughout the home financing journey.

Experience:16 years
Reviews:300 customer reviews
5407 N. University St, Peoria, IL 61614

Loan Types:

ConventionalFHAVAUSDAJumboRefinance
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Frequently Asked Questions

Common questions about mortgage lending in Peoria, IL

What are the current average mortgage rates in Peoria, IL, and how do they compare to national averages?

Mortgage rates in Peoria typically align closely with national averages, but local lenders may offer competitive rates due to the area's stable housing market. As of recent data, rates in Peoria often range from 6.5% to 7% for 30-year fixed mortgages, though this varies by lender and borrower qualifications. It's wise to compare offers from both local credit unions and national banks operating in the Peoria area.

Are there any first-time homebuyer programs specific to Peoria that can help with down payments?

Yes, Peoria homebuyers can access the Illinois Housing Development Authority (IHDA) programs, which offer down payment assistance and affordable fixed-rate mortgages. Additionally, some local lenders like CEFCU and CIB Bank may provide special first-time buyer loans with favorable terms. These programs are particularly valuable in Peoria's affordable housing market where median home prices remain below national averages.

How does Peoria's property tax system affect mortgage payments and affordability?

Peoria County has property tax rates that are generally higher than the national average, typically ranging from 2.0% to 2.5% of assessed value. This means your monthly mortgage payment will include significant tax escrow payments, potentially adding several hundred dollars to your monthly housing costs. However, this is partially offset by Peoria's relatively low home prices compared to other Illinois metropolitan areas.

What special mortgage considerations should I know about when buying in Peoria's older neighborhoods like the West Bluff or Uplands?

When purchasing in Peoria's historic districts, you may need specialized renovation loans like the FHA 203(k) if the home requires significant updates. Many properties in these areas were built before 1940, so lenders may require additional inspections for structural integrity and outdated systems. Some local lenders have experience with these unique properties and can guide you through the specific requirements.

How does the local job market, particularly related to Caterpillar and healthcare, influence mortgage lending in Peoria?

Peoria's economy, heavily influenced by Caterpillar and major healthcare providers like OSF Healthcare, creates stable employment that lenders view favorably. Borrowers working for these major employers may qualify for better terms, and some local credit unions offer special mortgage programs for employees of these companies. However, lenders remain cautious about employment stability given Caterpillar's headquarters relocation, so consistent employment history is particularly important.

Mortgage Insights

Finding Your Perfect Mortgage Match in Peoria

Navigating the path to homeownership in Peoria can feel like a journey down the Illinois River—you know where you want to end up, but having an expert guide can make all the difference. That’s where a local mortgage broker comes in. Unlike a single bank loan officer, a broker works with a network of lenders to find the right loan for your unique situation. In Peoria’s diverse housing market, which ranges from historic homes in the West Bluff to new constructions in Dunlap, this flexibility is a powerful asset.

So, why choose a local Peoria broker? They understand our market’s nuances. They know that property taxes can vary significantly between Peoria County and Tazewell County, and they can factor that into your affordability picture. They’re familiar with neighborhood-specific trends, whether you’re looking at the revitalizing Warehouse District or the family-friendly streets of Northmoor. This hyper-local knowledge helps them advocate for you and find a loan product that aligns with the true value and potential of your chosen home.

For Illinois homebuyers, there are specific programs a knowledgeable broker can help you access. The Illinois Housing Development Authority (IHDA) offers first-time homebuyer programs like the 1stHomeIllinois loan, which provides competitive interest rates and down payment assistance. A seasoned Peoria broker will know the ins and outs of these programs, including income limits and property requirements specific to our region, and can identify which lenders are best at processing them.

Your actionable journey starts with a few key steps. First, ask for referrals from your real estate agent, friends, or family who have recently bought locally. Look for brokers with strong roots in central Illinois. When you interview potential brokers, come prepared with questions: “How many lenders do you work with?” “Can you walk me through the IHDA programs I might qualify for?” “What’s your experience with appraisals in the Peoria area?” A good broker will be a transparent educator, not just a salesperson.

Remember, your broker is your financial matchmaker. They’ll help you compare not just interest rates, but also closing costs, loan terms, and lender reputations. In a market like Peoria, where you might find a fantastic fixer-upper or a move-in ready gem, having a financing expert who can quickly secure the appropriate loan is invaluable. By partnering with a trusted local mortgage broker, you’re not just getting a loan—you’re gaining a knowledgeable ally to help you confidently plant roots in the River City.

Nearby Cities

Explore mortgage lenders in cities near Peoria, IL

Why Choose a Mortgage Lender in Peoria?

Local Market Knowledge

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