Today we’ll check out “HomeTown Lenders,” a company that refers to itself as one of the Southeast’s largest FHA mortgage lenders.
But that’s not all they do. You can also get a home loan backed by Fannie Mae, Freddie Mac, the VA, and even the USDA.
They aren’t short on loan options, nor are they satisfied with just excellent customer service.
Their goal is to provide unsurpassed customer service and provide clients with the “most efficient mortgage process possible.”
This means leaning on the latest and greatest technology to get the job done, but also providing old-fashioned service with a smile.
HomeTown Lenders Fast Facts
- Direct-to-consumer retail mortgage lender
- Offers home purchase loans and mortgage refinances
- Founded in 2000, headquartered in Huntsville, AL
- Licensed to do business in 32 states
- Over 100 branch locations and 800+ employees nationwide
- Funded about $5.5 billion in home loans last year
- Most active in Alabama, California, and Texas
HomeTown Lenders was founded in the year 2000 by owner and CEO William (Billy) Taylor.
The Huntsville, Alabama-based company began as a “local mortgage brokerage firm,” and now has more than 100 branches and 800+ employees.
The company has grown by acquiring “well-respected mortgage lenders” across the nation. To that end, they operate like a network of smaller, local lenders.
This gives them the advantage of providing more personal service, as opposed to a large, centralized call center.
Last year, HomeTown Lenders managed to fund a very healthy $5.5 billion in mortgages, with more than two-thirds of production made up of home purchase loans and the remainder refinances.
This means they are home buying specialists, and could be a good fit for a home buyer, including first-time buyers who typically need more guidance.
But they also do a good amount of refinance volume too, so existing homeowners may also be well served here.
They are currently licensed in 32 states, including Alabama, Alaska, Arizona, California, Colorado, Florida, Idaho, Illinois, Indiana, Kentucky, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, Nevada, North Carolina, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, South Carolina, Tennessee, Texas, Utah, Virginia, Washington, West Virginia, and Wyoming.
The company is most active in California, followed by their home state of Alabama, along with Texas, Florida, and Washington.
Interestingly, they aren’t a top mortgage lender in Alabama (and at last glance are ranked 25th there).
How to Apply with HomeTown Lenders
HomeTown Lenders operates both a physical branch network and an “online storefront” where you can apply for a mortgage digitally.
To begin, you can either visit a local branch if you one is situated nearby or head over to their website.
If you go online, you can search for branch locations by state, use their loan decision tool, or simply click on “Apply Now.”
The loan decision tool will help you narrow down what you’re looking for. Then you’ll be routed to a nearby office where you’ll be asked to provide contact info.
At that point, a local loan officer will get in touch to discuss loan pricing and eligibility.
If you’re confident you’ll be working with HomeTown Lenders, you can also just hit the Apply Now button to begin.
Their digital mortgage application is powered by SimpleNexus, and includes a free smartphone app if you wish to work that way.
Either way, you’ll be able to complete most tasks electronically, including the app itself, eSigning disclosures, scanning/uploading documents, and checking loan status.
As noted, they stay up to date on all the latest tech, but also provide ample guidance via their not-forgotten human touch.
Loan Programs Offered by HomeTown Lenders
- Home purchase loans
- Refinance loans: rate and term, cash out, streamline
- Home renovation loans
- Conforming loans backed by Fannie Mae and Freddie Mac
- FHA loans
- VA loans
- USDA loans
- State housing loans
- Reverse mortgages
- Fixed-rate mortgages: 30-yr, 25-yr, 20-yr, 15-yr, and 10-yr terms available
HomeTown Lenders offers a wide selection of loan programs, including home purchase, renovation, and refinance loans.
Additionally, they have reverse mortgages for seniors and those who are retired (or close to being retired).
All the major loan types are available, whether you need a conforming loan backed by Fannie/Freddie, or a rural loan from the USDA.
Beyond that, they say they have non-conforming options like jumbo loans, along with state housing loan programs, which may include grants and other assistance.
You can get a fixed-rate mortgage in a variety of different loan terms, from 10 years all the way to 30.
It’s unclear if they offer adjustable-rate mortgages, though there’s a decent chance they will with fixed rates so much higher these days.
HomeTown Lenders Rates
To get loan pricing, you’ll need to contact a licensed loan officer.
HomeTown Lenders does not publicize sample mortgage rates on their website, nor do they list their lender fees.
When you speak to a loan officer, be sure to inquire about any fees that accompany your mortgage rate quote.
Collectively, this is known as the mortgage APR, and is key to comparing other offers you may have received from competing banks and mortgage brokers.
The only clue we have about pricing comes from their mention of relying heavily on technology to increase efficiency and productivity.
This has apparently enabled them “to offer lower cost mortgage loans than our competitors.”
Of course, it will depend which competitors you speak to. Just be sure to gather multiple quotes to ensure you don’t miss out on a better offer.
HomeTown Lenders Reviews
At Experience.com, HomeTown Lenders has a solid 4.87-star rating out of 5 from about 18,000 customer reviews.
Take the time to filter the nearly 200 individual loan officers to fine-tune your search.
Additionally, the company has a 4.9-star rating from over 600 Google reviews, along with a 4.83-star rating on Zillow from about 65 reviews.
Lastly, HomeTown Lenders has an ‘A+’ rating with the Better Business Bureau (BBB) and has been an accredited company since 2019.
In closing, it appears HomeTown Lenders is well positioned for the home purchase market, which is becoming the focus as mortgage rates rise.
They have thousands of excellent customer reviews, lots of loan programs to choose from, and multiple ways to apply for a mortgage.
Their website is also chock full of mortgage guides and FAQ, which tells me they are probably good at guiding their customers, especially first-timers.
The only question marks are mortgage rates and lender fees, which they don’t appear to spell out on their website.
If pricing is also spot on, they could be a great option to consider alongside other banks and lenders.
HomeTown Lenders Pros and Cons
The Good Stuff
- Can apply for a mortgage online or in a physical branch
- Digital mortgage application powered by SimpleNexus
- Lots of loan programs to choose from
- Excellent customer reviews from thousands of past customers
- A+ BBB rating, accredited business
- Free smartphone app
- Free mortgage calculator and online mortgage guides
The Perhaps Not
- Only licensed in 32 states at the moment
- Do not publicize mortgage rates or lender fees
(photo: Anderson Silva)