The Best Mortgage Lenders in Block Island, RI
Compare verified mortgage lenders serving Block Island, Rhode Island. Find competitive rates on conventional, FHA, VA, and jumbo loans from experienced professionals.
Available Loan Programs in Block Island
Featured Mortgage Lenders
Washington Trust Mortgage Department
The Washington Trust Company
As Rhode Island's oldest community bank with over 220 years of service, Washington Trust has extensive experience serving coastal and island properties throughout Southern Rhode Island. They specialize in vacation home and investment property financing, making them particularly well-suited for Block Island's unique real estate market. Their local underwriting expertise and personalized service approach have earned them exceptional customer satisfaction ratings and deep community trust.
Loan Types:
BankNewport Mortgage Center
BankNewport
With deep roots in Rhode Island's coastal communities, BankNewport has specialized in financing properties throughout Narragansett Bay and Block Island for decades. They offer competitive rates for second homes and investment properties, understanding the unique considerations of island real estate. Their local decision-making process and commitment to personalized service make them a top choice for Block Island homeowners seeking reliable mortgage solutions.
Loan Types:
Primary Residential Mortgage, Inc.
Primary Residential Mortgage, Inc. - East Greenwich
This highly-rated mortgage brokerage serves all of Rhode Island including Block Island, with particular expertise in vacation homes and coastal properties. They leverage multiple lender relationships to secure competitive rates and flexible terms for island properties. Their team has extensive experience navigating the unique challenges of Block Island real estate transactions and provides exceptional personalized service throughout the lending process.
Loan Types:
Frequently Asked Questions
Common questions about mortgage lending in Block Island, RI
Are mortgage rates typically higher for properties on Block Island compared to mainland Rhode Island?
Yes, rates can be slightly higher due to the island's unique location, which lenders may classify as a "non-warrantable" or resort market, presenting a perceived higher risk. Working with a lender experienced in coastal and island properties is crucial to secure the most competitive terms available for this specific market.
What special considerations are there for getting a mortgage on a seasonal or vacation rental property on Block Island?
Lenders will typically require a history of rental income (often two years of schedule E tax returns) to qualify the property, and will use a percentage of that income (e.g., 75%) for your debt-to-income ratio. Down payment requirements are also higher, usually 20-30%, as these are considered investment properties.
Are there any Rhode Island first-time homebuyer programs accessible to year-round residents of Block Island?
Yes, year-round residents can access statewide programs like the Rhode Island Housing's FirstHomes loan, which offers competitive rates and down payment assistance. However, the island's high property values may exceed the program's purchase price limits, so it's important to verify your eligibility for the specific property you're considering.
How does the appraisal process differ for a home on Block Island?
Appraisals are more complex and costly, as the appraiser must be familiar with the unique Block Island market. They will heavily rely on recent, comparable sales on the island itself, which can be limited, especially for unique properties. This can sometimes lead to appraisal challenges if few similar homes have sold recently.
What should I know about flood insurance requirements for a Block Island mortgage?
Virtually all lenders will require flood insurance, as most of Block Island is in a FEMA Special Flood Hazard Area (SFHA). The cost can be significant and must be factored into your monthly payment. It's essential to get a flood elevation certificate and shop for quotes early in the buying process.
Nearby Cities
Explore mortgage lenders in cities near Block Island, RI
Why Choose a Mortgage Lender in Block Island?
Local Market Knowledge
Lenders who understand Block Island'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 Rhode Island.
Ready to Find Your Perfect Mortgage Lender?
Connect with top-rated mortgage professionals in Block Island and get competitive rates on your home loan.