Delaware Mortgage Loans
Delaware, though a small state by square mileage standards, is a huge state when it comes to the diversity of homes, properties, and mortgage products available. While some loan officers claim they can do business in every state, the team at JMLoans would argue that Delaware mortgage loans require a loan officer with knowledge specific to the Delaware marketplace. With over a decade of lending throughout the state of Delaware, we have in depth knowledge of the state and it’s marketplace, from suburban New Castle county to the Bayfront of Sussex county, different areas require a variety of Delaware mortgage loans.
Delaware is a popular state to call home for many reasons. In the north, the proximity to Philadelphia coupled with generally lower property taxes than surrounding states makes Delaware a popular place to live when residents have the choice between the nearby states of Pennsylvania & New Jersey. Delaware offers jobs, opportunities for quality education, along with plenty of recreation, especially in the warmer months of the year.
So what is unique about Delaware Mortgage Loans?
For one, when buying a home in Delaware, buyers should be prepared for one of the highest real estate transfer taxes in the country. At 3% (customarily split between the buyer and seller at 1.5%/1.5%) closing costs can be slightly higher in Delaware than in nearby states. However, this is offset by lower costs on title insurance and real estate taxes. Since Delaware has no sales tax, the state has to get it’s revenue somewhere!
While Delaware real estate taxes are generally more affordable than nearby states, they do vary greatly from school district to school district and county to county. Some areas of Delaware offer some of the lowest property taxes in the country. Other, typically more affluent areas, have slightly higher taxes but are generally still cheaper than those in nearby PA & NJ.
Delaware is also an “attorney state”, meaning that unlike states where a general notary can help borrowers signing closing documents, an attorney handles real estate closings for Delaware property.
Mortgage Programs in Delaware
Since Delaware offers real estate in all shapes and sizes, Delaware mortgage loans come in a great variety! Much of the state is eligible for USDA financing, and VA loans are also popular in Delaware, so for many folks, a down payment is not required to purchase a home. Delaware also offers down payment assistance through both county programs and the statewide DSHA program.
Conventional and FHA mortgage loans are the most popular and prevalent loans in Delaware, but niche products also serve a tremendous need in the state. The team at JMLoans offers loans for large acreage properties, equine land, and hobby farms. For older properties, renovation loans are a great option for home buyers to make a house their dream home – our team offers FHA 203k loans (full and streamline)and Fannie Mae Homestyle Renovation products, so borrowers can finance renovations and repairs to take a home that needs some work and turn it into a perfect property.
Since standard loans don’t allow for “High balance” financing in Delaware, Jumbo loans are also an important part of the marketplace. Borrowers can purchase a home or refinance with only 10% down payment/equity required for jumbo financing, allowing the purchase of luxury homes without breaking the bank.
Delaware is a wonderful place to call home. With low taxes, a great deal of history, job opportunities, and some wonderful properties, it’s no wonder people love the state so much. Whether you’re considering purchase a home there or refinancing a mortgage currently in place, the team at JMLoans would be happy to help.
If you have any questions about Delaware mortgage loans please give John a call at 484.680.4852. With extensive experience in Delaware and a great group of local professionals throughout the state, we’ll be sure to point you in the right direction and provide you with the best financing options available.