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Preston, MN

The Best Mortgage Lenders in Preston, MN

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

3
Top Lenders
4.9
Avg Rating
1001+
Reviews
9
Loan Types

Available Loan Programs in Preston

Conventional
FHA
VA
USDA
Jumbo
Refinance
Construction
First-time Homebuyer
Home Equity

Featured Mortgage Lenders

1

Mike Krenik

Bell Bank Mortgage

★★★★☆
4.9/5

Bell Bank Mortgage is one of the highest-rated regional mortgage lenders serving southeastern Minnesota, with a strong presence in Rochester that extends to Preston and surrounding communities. They consistently receive exceptional reviews for their personalized service, competitive rates, and local decision-making. As a community-focused lender with deep roots in Minnesota, they offer specialized knowledge of rural and small-town property financing, including USDA loans that are particularly relevant for the Preston area. Their team includes experienced loan officers who understand the unique needs of Fillmore County homebuyers.

Experience:25 years
Reviews:485 customer reviews
300 1st Avenue NW, Rochester, MN 55901

Loan Types:

ConventionalFHAVAUSDAJumboRefinanceConstruction
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2

Mike Bue

Altra Federal Credit Union

★★★★☆
4.8/5

Altra Federal Credit Union has been serving southeastern Minnesota communities for over 90 years and maintains a strong presence throughout the region, including Preston. They are particularly noted for their competitive mortgage rates and exceptional member service. As a credit union, they operate as a not-for-profit financial cooperative, which often translates to lower fees and more favorable terms for borrowers. Their mortgage specialists have extensive experience with rural property financing and offer personalized guidance through the entire homebuying process, making them an excellent choice for Preston area residents.

Experience:15 years
Reviews:327 customer reviews
3400 Commerce Court NW, Rochester, MN 55901

Loan Types:

ConventionalFHAVAUSDAFirst-time HomebuyerRefinanceHome Equity
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3

Jeff Hegland

Hegland Home Loans - CrossCountry Mortgage

★★★★☆
4.9/5

Hegland Home Loans, operating as CrossCountry Mortgage, is a highly-rated local mortgage brokerage with deep connections throughout southeastern Minnesota, including regular service to Preston and Fillmore County. They receive outstanding customer reviews for their responsive service, competitive rates, and expert guidance through complex financing situations. The team specializes in both urban and rural property financing, with particular expertise in USDA loans that are well-suited for the Preston area. Their local ownership and operation mean decisions are made quickly with understanding of local market conditions.

Experience:18 years
Reviews:189 customer reviews
421 1st Avenue SW, Rochester, MN 55902

Loan Types:

ConventionalFHAVAUSDAJumboRefinanceFirst-time Homebuyer
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Frequently Asked Questions

Common questions about mortgage lending in Preston, MN

What are typical mortgage rates for homebuyers in Preston, MN?

Mortgage rates in Preston generally align with national averages, but local lenders may offer competitive rates due to the rural nature of the area. Currently, 30-year fixed rates typically range from 6.5% to 7.25%, though this varies by lender, credit score, and loan type. It's wise to compare offers from both local banks and credit unions in Fillmore County for the best terms.

Are there any first-time homebuyer programs specific to Preston?

Yes, the Southeast Minnesota Housing and Redevelopment Authority (SEMMCHRA) offers down payment and closing cost assistance programs for qualified first-time buyers in Preston and Fillmore County. Additionally, Minnesota Housing's Start Up program provides affordable fixed-rate mortgages with down payment assistance, which can be particularly helpful given Preston's moderate home prices compared to larger cities.

How does Preston's rural location affect mortgage lending requirements?

Preston's rural designation can work to your advantage through USDA Rural Development loans, which offer 100% financing with no down payment required for eligible properties and borrowers. However, some lenders may require additional documentation for rural property appraisals, particularly for homes with unique features like acreage or agricultural elements common in the area.

What special considerations should I know about when getting a mortgage for Preston's historic homes?

Many homes in Preston's historic districts may require specialized lending approaches. FHA 203(k) rehabilitation loans can be beneficial for updating historic properties while preserving their character. Be prepared for potentially stricter appraisal requirements and ensure any renovations comply with Preston's historic preservation guidelines to maintain property value.

How do seasonal employment patterns in Preston affect mortgage qualification?

Given Preston's tourism industry and seasonal agricultural employment, lenders may require two years of consistent seasonal income documentation for qualification. Self-employed individuals and seasonal workers should provide thorough tax returns and profit-loss statements. Local lenders familiar with Preston's economy often have more flexible underwriting for seasonal income patterns than national lenders.

Mortgage Insights

Finding Your Perfect Mortgage Match in Preston, MN

Searching for the "best mortgage broker near me" is more than just finding a local office. In a community like Preston, it's about finding a financial partner who understands the unique rhythm of our local housing market and can guide you through one of life's biggest decisions with genuine, hometown care. As you embark on your homebuying journey here, knowing what to look for in a mortgage professional will make all the difference.

Preston’s real estate market has its own character. You might be looking at a historic home near the Root River, a modern build on the outskirts, or a fixer-upper with great potential. A top-tier mortgage broker serving our area will understand these property types and their valuations. They know how factors like proximity to the trail system or being in the Lanesboro school district can influence both a home's value and your long-term satisfaction. Their local expertise is invaluable for a smooth appraisal and closing process.

When evaluating brokers, don't just look at rates—look at relationships. The best brokers in our region have deep connections with local banks, credit unions, and regional lenders. They can often advocate for you more effectively with these institutions. Ask any potential broker about their experience with rural properties, well and septic systems (common in Fillmore County), and how they handle the nuances of smaller-town transactions. A good question to ask is, "Can you share an example of a challenging Preston-area purchase you helped close?"

As a Minnesota homebuyer, you also have access to special programs that a knowledgeable broker will highlight. The Minnesota Housing Finance Agency offers programs like *Start Up* for first-time buyers or *Step Up* for repeat buyers, which can provide competitive interest rates and down payment assistance. These programs have specific income and purchase price limits that a local broker can help you navigate, ensuring you don't leave any money on the table. They’ll also be well-versed in USDA Rural Development loans, which can be a perfect fit for many properties in and around Preston, offering zero-down-payment options.

Your actionable first step? Go beyond the online search. Ask your local real estate agent for their top two or three mortgage broker recommendations—they see who performs reliably at closings every day. Then, interview them. Prepare to discuss your financial picture openly and ask how they communicate. Will you have a direct line to them? Do they offer evening or weekend appointments? The right broker will make you feel confident, not rushed, and will explain the intricacies of your loan options in plain English.

Ultimately, the best mortgage broker for you in Preston will be a trusted advisor who helps you secure not just a house, but a home in this beautiful part of Minnesota, with terms that support your financial well-being for years to come.

Nearby Cities

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Why Choose a Mortgage Lender in Preston?

Local Market Knowledge

Lenders who understand Preston'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 Minnesota.

Ready to Find Your Perfect Mortgage Lender?

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