Mortgage Loans in Foley, Alabama

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Looking for a mortgage lender or mortgage broker serving Foley, Alabama? Fairhope Mortgage helps Foley homebuyers, homeowners and real estate investors compare FHA, VA, USDA, conventional, down payment assistance, construction, manufactured home, refinancing and DSCR investment property loans.

Led by Tom Kalagher, NMLS #2028566, Fairhope Mortgage is based in Fairhope and serves borrowers throughout Foley, Baldwin County and the Alabama Gulf Coast.

Whether you're purchasing your first home, relocating to South Baldwin County, buying in a new subdivision, building a custom home or refinancing an existing property, we help you evaluate financing options, estimated monthly payments and cash needed to close.

Our goal is to help you find a mortgage solution that fits both your immediate needs and long-term financial plans.

Foley has become one of Baldwin County's most rapidly growing communities, offering homebuyers access to new residential development, established neighborhoods, shopping, employment opportunities and the beaches of Alabama's Gulf Coast.

Located along Highway 59 in southern Baldwin County, Foley connects buyers to Gulf Shores, Orange Beach, Robertsdale, Summerdale and other surrounding communities.

The city's continued expansion has created opportunities for first-time homebuyers, growing families, retirees, self-employed borrowers and real estate investors.

Foley offers a broad range of housing choices, including traditional single-family homes, new subdivisions, custom-built properties, townhomes, manufactured homes on qualifying land and rental investment properties.

For homebuyers, that variety means financing requirements can differ significantly depending on the property and mortgage program.

Fairhope Mortgage helps Foley buyers understand these differences before making an offer.

FHA Loans — Flexible Financing for Foley Homebuyers

FHA loans may be a strong option for first-time buyers and repeat homebuyers who need more flexible credit or down payment requirements.

Eligible borrowers with qualifying credit scores of 580 or higher may obtain FHA financing with a down payment as low as 3.5%.

Borrowers with scores between 500 and 579 may qualify under FHA guidelines with at least 10% down, subject to additional underwriting and lender requirements.

FHA loans may also be combined with certain eligible down payment assistance programs.

For Foley buyers purchasing an established home or new construction, the property must meet applicable FHA appraisal and eligibility requirements.

Conventional Loans — Flexible Home Financing

Conventional mortgages offer financing options for eligible primary residences, second homes and investment properties.

Certain qualifying buyers may have down payment options as low as 3%, depending on the program.

Conventional financing may be particularly useful for Foley buyers purchasing newer homes, higher-value properties or homes with features that require a more customized financing structure.

Eligible borrowers may also benefit from mortgage insurance options and the ability to request cancellation of private mortgage insurance when applicable requirements are met.

VA Loans — Financing for Eligible Veterans and Military Families

Eligible veterans, active-duty service members and other qualifying borrowers may use VA financing to purchase a primary residence in Foley.

VA purchase loans may offer zero-down-payment financing, no monthly mortgage insurance and competitive financing terms.

VA loans may also be available for eligible new construction and manufactured homes when property and program requirements are satisfied.

Fairhope Mortgage helps eligible military borrowers evaluate their VA loan options throughout Baldwin County.

USDA Loans — 100% Financing in Eligible Areas

USDA Rural Development loans may provide up to 100% financing for eligible borrowers purchasing qualifying primary residences.

USDA financing can be especially important for buyers exploring properties in rural or less densely developed portions of Baldwin County.

However, not every property in Foley or the surrounding area qualifies.

Eligibility depends on the exact property address, applicable household income limits and other program requirements.

Buyers should verify USDA property eligibility before making an offer.

Down Payment Assistance — Reduce Your Initial Cash Requirement

Qualified Foley buyers may be eligible for down payment assistance programs that help cover eligible down payment and closing costs.

Depending on the program, assistance may be structured as a grant, forgivable second mortgage or repayable second mortgage.

Some programs are available to repeat buyers and may have different income, credit score and occupancy requirements.

Fairhope Mortgage can help compare available assistance programs with traditional financing so borrowers understand both the immediate savings and any long-term repayment obligations.

One-Time Close Construction Loans — Build a Home in Foley

Foley's continued residential expansion makes construction financing an important option for buyers planning a custom home.

A one-time close construction loan may combine eligible land acquisition, construction expenses and permanent mortgage financing into one transaction.

Depending on the program, construction-to-permanent financing may be available through conventional, FHA, VA or USDA loan options.

Conventional construction financing may offer additional flexibility for approved custom-home features such as swimming pools, outdoor living spaces, upgraded kitchens, garages and other permanently installed improvements.

All improvements remain subject to the approved construction plans, budget, appraisal and lender requirements.

Fairhope Mortgage helps borrowers evaluate land equity, builder qualifications, construction costs and the mortgage process before construction begins.

Manufactured Home Loans — Financing for Eligible Homes and Land

Manufactured homes are another housing option for buyers in Foley and surrounding Baldwin County communities.

Certain manufactured homes may qualify for FHA, VA, USDA or conventional mortgage financing when the home, land, foundation, installation and title satisfy applicable requirements.

Eligible financing options may include existing manufactured homes or new manufactured homes being placed on qualifying land.

Important considerations can include HUD Certification Labels, the HUD Data Plate, permanent foundation requirements, engineering certification, proper tie-downs and whether the home has previously been moved.

Fairhope Mortgage offers eligible real-property manufactured home financing. We do not offer chattel-only manufactured home loans.

DSCR Loans — Financing for Foley Rental Properties

Foley real estate investors may benefit from Debt Service Coverage Ratio financing.

DSCR loans generally evaluate qualifying rental income in relation to the property's monthly housing obligation instead of primarily using the borrower's personal employment income.

Depending on the program, eligible borrowers may have options for long-term rental properties, LLC ownership, purchase financing and cash-out refinancing.

Foley's location near Gulf Shores and Orange Beach can make it relevant to investors exploring both residential rental markets and broader Gulf Coast investment opportunities.

Investors should verify rental restrictions, projected expenses, insurance costs and actual rental-income documentation before purchasing.

DSCR financing is intended for eligible non-owner-occupied investment properties, not primary residences.

Foley's growth is one of the most important factors shaping its housing market.

According to the U.S. Census Bureau, Foley's population was 20,335 in the 2020 Census. The Census Bureau's July 2025 estimate reached 30,354 residents.

Using the Census Bureau's comparable 2020 estimates base of 20,713, that represents a population increase of approximately 46.5%.

This growth reflects Foley's increasing importance as a residential and commercial center in southern Baldwin County.

As Foley continues expanding, homebuyers are encountering more choices involving newly constructed homes, planned communities, vacant land and established properties.

New Residential Construction

Buyers purchasing newly built homes should compare builder financing incentives, permanent mortgage rates, closing costs and potential HOA expenses.

Land and Custom Homes

Borrowers purchasing land or planning construction should evaluate zoning, utilities, site preparation, construction budgets and available construction-to-permanent financing.

Established Homes

Older properties may require additional review of roof condition, insurance, appraisal requirements and potential repairs.

Investment Properties

Foley's growing population and proximity to Gulf Coast tourism and employment centers may create opportunities for long-term rental investment properties. Investors should evaluate actual rental demand, operating expenses and financing requirements rather than assuming that population growth guarantees rental income or appreciation.

Fairhope Mortgage helps borrowers navigate these financing decisions as Foley continues to develop.

Foley offers residents and visitors a combination of family entertainment, outdoor recreation, shopping, historic attractions and easy access to Alabama's Gulf Coast beaches.

One reason many homebuyers consider Foley is the opportunity to enjoy a growing community with recreational activities, shopping and entertainment close to home.

Whether you're relocating to Baldwin County, purchasing your first home or considering a second home in South Alabama, Foley provides a variety of attractions and activities throughout the year.

OWA Parks & Resort and Tropic Falls

OWA Parks & Resort is one of Foley's best-known entertainment destinations. Located along the Foley Beach Express, the development includes Tropic Falls Theme Park, an indoor water park, restaurants, shopping, entertainment and accommodations.

Tropic Falls offers roller coasters, family-friendly attractions and water park activities. Nearby Downtown OWA features walkable streets with dining, shopping and entertainment venues.

OWA has become an important regional destination for families and visitors exploring southern Baldwin County.

Official website:

https://visitowa.com/

Graham Creek Nature Preserve

Graham Creek Nature Preserve is one of Foley's most significant outdoor recreation destinations.

The preserve protects a variety of natural habitats, including pine savannas, wetlands and tidal marshes.

Visitors can enjoy hiking and walking trails, birdwatching, kayaking, canoeing, disc golf and other outdoor activities.

Graham Creek also offers educational programs and community events, providing opportunities for residents to experience the natural environment of coastal Alabama.

Official City of Foley information:

https://cityoffoley.org/nature-parks/

Tanger Outlets Foley

Tanger Outlets is a major shopping destination in Foley, featuring national retailers, outlet stores and shopping opportunities along Highway 59.

The shopping center attracts both local residents and visitors traveling to the Alabama Gulf Coast.

For Foley homeowners, access to retail shopping, restaurants and everyday services is one of the conveniences of living in this growing community.

Official website:

https://www.tanger.com/foley

Historic Downtown Foley

Downtown Foley offers a different experience from the city's newer commercial developments.

The historic downtown area includes local shops, restaurants, public spaces, historic buildings and community attractions.

Residents and visitors can explore the area around Heritage Park, the city's historic railroad depot and the downtown shopping district.

Downtown Foley also hosts community events and seasonal activities that contribute to the city's small-town character.

Visitor information:

https://visitfoley.com/

Foley Railroad Museum and Model Train Exhibit

The Foley Railroad Museum is located in the city's historic Louisville & Nashville railroad depot.

The museum preserves the history of Foley's railroad connections and the role rail transportation played in the development of the community.

Visitors can also explore a detailed model train exhibit, making the museum a popular attraction for families, railroad enthusiasts and anyone interested in local history.

Attractions and museum information:

https://visitfoley.com/play/attractions/

Heritage Park and Downtown Community Events

Heritage Park is a gathering place in downtown Foley, offering landscaped public space and a setting for community activities.

The surrounding downtown area hosts seasonal events, markets and entertainment throughout the year.

For families considering a move to Foley, the city's parks and public gathering spaces provide opportunities to participate in community life.

City parks information:

https://cityoffoley.org/parks/

Wilbourne Antique Rose Trail

The Wilbourne Antique Rose Trail is a landscaped walking trail near downtown Foley.

The trail provides a quieter recreational experience for residents and visitors who enjoy walking, gardens and outdoor scenery.

It also offers a connection to Foley's historic downtown atmosphere.

Local attraction information:

https://visitfoley.com/play/attractions/

Foley Sports and Recreation

Foley offers recreational opportunities through its parks, sports facilities and community programs.

The Foley Sports Complex and other recreation facilities support youth sports, tournaments and community activities.

These facilities contribute to Foley's role as a regional destination for recreation and sporting events.

City recreation information:

https://cityoffoley.org/parks/

Easy Access to Gulf Shores and Orange Beach

One of Foley's geographic advantages is its proximity to Alabama's Gulf Coast beaches.

Residents can travel south toward Gulf Shores and Orange Beach to enjoy public beaches, boating, fishing, waterfront dining and coastal recreation.

This access appeals to homebuyers who want to live in a year-round residential community while remaining close to the Gulf of Mexico.

For buyers comparing Foley with beachfront communities, differences in property prices, insurance costs, HOA requirements and financing options should be evaluated for each property.

Living in Foley: Growth, Recreation and Homeownership

Foley's combination of population growth, housing development, outdoor recreation, shopping and proximity to the coast makes it a community worth exploring for prospective homebuyers.

However, choosing the right property also means understanding mortgage qualification, homeowners insurance, property taxes, HOA dues and long-term housing expenses.

Fairhope Mortgage helps buyers evaluate those financial considerations as they explore homeownership opportunities in Foley and southern Baldwin County.

New Construction and Builder Incentives

As Foley grows, buyers may encounter new residential subdivisions and builder financing incentives.

These incentives can include closing-cost assistance, temporary interest-rate buydowns or other permitted seller contributions.

However, a builder's advertised incentive does not automatically provide the lowest overall financing cost.

Borrowers should compare interest rates, discount points, lender fees, mortgage insurance and long-term payment obligations.

Fairhope Mortgage helps buyers evaluate available financing structures before choosing a lender.

USDA Eligibility and Property Location

USDA financing can be an attractive option for eligible buyers seeking a low initial cash requirement.

However, USDA eligibility is determined by the property's specific location.

A Foley mailing address does not guarantee that a property is eligible.

Buyers should verify eligibility using the official USDA property map before relying on USDA financing.

Manufactured Homes and Land Ownership

Foley and surrounding communities include properties with manufactured homes, acreage and vacant land.

Financing requirements depend on the home's classification, foundation, installation, title status and whether the land is included in the mortgage.

Buyers considering an existing manufactured home should determine whether the property meets the requirements of their intended mortgage program before signing a purchase agreement.

Flood Zones and Drainage

Flood exposure can vary throughout Foley and southern Baldwin County based on elevation, waterways, drainage and other property characteristics.

Mortgage lenders may require flood insurance for properties in designated Special Flood Hazard Areas when applicable federal requirements apply.

Buyers should review the property's official flood zone designation and obtain insurance estimates early.

Homeowners and Wind Insurance

Homeowners insurance premiums may vary based on roof age, construction materials, location, coverage and insurer underwriting.

In coastal Alabama, wind coverage and deductibles can significantly affect annual insurance costs.

Because insurance is included in mortgage affordability calculations, accurate quotes are important before finalizing a purchase budget.

Homeowners Associations and Planned Communities

Some newer Foley developments include homeowners associations, architectural requirements, community amenities and recurring dues.

HOA fees are generally included in mortgage qualification calculations when applicable.

Buyers should review association documents, assessments, insurance responsibilities and restrictions before closing.

Property Taxes and Monthly Housing Costs

A mortgage payment includes more than principal and interest.

Buyers should consider property taxes, homeowners insurance, flood insurance when applicable, mortgage insurance and HOA dues.

A property's existing tax bill may not reflect the amount a new owner will pay after purchase.

Fairhope Mortgage helps buyers evaluate these expenses when determining an affordable monthly payment.

Foley's growing economy includes small-business owners, independent contractors, commission-based workers and self-employed professionals.

Qualifying for a mortgage while self-employed may require additional income analysis, but borrowers often have more options than they expect.

Depending on the loan program, lenders may evaluate personal and business tax returns, Schedule C income, K-1 income, business financial statements, bank deposits or other acceptable documentation.

Fairhope Mortgage helps self-employed borrowers compare conventional, government-backed and alternative documentation mortgage options.

Reviewing income documentation early can help identify potential underwriting concerns before making an offer.

Already own a home in Foley?

Mortgage refinancing may help eligible homeowners change their loan term, evaluate a different interest-rate structure, consolidate eligible debt or access available equity.

For homeowners with a favorable existing first-mortgage rate, a home equity loan or home equity line of credit may provide an alternative to replacing the entire mortgage.

A home equity loan generally provides a lump sum, while a HELOC allows eligible borrowers to draw funds from a revolving credit line during an applicable draw period.

Both are secured by the home and involve repayment obligations.

Fairhope Mortgage can help homeowners compare refinancing, home equity loans and HELOC options based on their goals and financial circumstances.

Who offers mortgage loans in Foley, Alabama?

Fairhope Mortgage, led by Tom Kalagher, NMLS #2028566, serves Foley homebuyers, homeowners and investors with FHA, VA, USDA, conventional, construction, manufactured home, DSCR, home equity and refinancing options. The business is based in Fairhope, Alabama.

How much down payment do I need to buy a home in Foley?

Down payment requirements depend on the loan program and borrower eligibility. Certain conventional programs offer options as low as 3% down, FHA borrowers may qualify with 3.5% down, and eligible VA or USDA borrowers may have zero-down-payment options. Closing costs and other expenses may still apply.

Are USDA loans available in Foley?

Potentially. USDA eligibility depends on the property's exact location, household income and other program requirements. Not every property in Foley qualifies.

Can I buy a manufactured home in Foley with a mortgage?

Yes, certain manufactured homes may qualify for FHA, VA, USDA or conventional real-property mortgage financing when the home, land, foundation and other requirements are satisfied.

Can I finance land and a new home together in Foley?

Potentially. One-time close construction-to-permanent loans may combine eligible land acquisition, approved construction expenses and permanent mortgage financing.

Does Foley's population growth affect mortgage financing?

Population growth can create more housing choices, including new construction, planned developments and investment properties. However, mortgage qualification remains based on borrower finances, property eligibility, appraisal, insurance and applicable underwriting requirements.

Can self-employed borrowers qualify for a mortgage in Foley?

Yes. Self-employed borrowers may qualify using conventional, government-backed or alternative documentation programs depending on their income history, business structure and other qualifications.

Can I use a DSCR loan to purchase a Foley rental property?

Potentially. Eligible non-owner-occupied investment properties may qualify for DSCR financing based on rental income, property characteristics and other program requirements.

Can I use down payment assistance if I have owned a home before?

Some down payment assistance programs are available to repeat homebuyers. Eligibility depends on the specific program, financing structure and borrower qualifications.

Why work with a mortgage professional familiar with Baldwin County?

Local familiarity can help borrowers anticipate issues involving insurance, flood zones, property taxes, new construction, manufactured homes, HOA requirements and appraisals.

Fairhope Mortgage serves homebuyers, homeowners and real estate investors throughout Foley and southern Baldwin County.

Led by Tom Kalagher, NMLS #2028566, our approach focuses on clear communication, personalized financing options and helping borrowers understand the mortgage process before making major financial decisions.

We work with first-time buyers, repeat homebuyers, military borrowers, self-employed clients, homeowners and real estate investors.

Our financing experience includes FHA, VA, USDA, conventional, construction, manufactured home, down payment assistance, DSCR investment loans, home equity and refinancing.

We also work with real estate professionals throughout Baldwin County to help borrowers prepare for appraisal, underwriting and closing requirements.

Read Our Client Reviews

Whether you're purchasing your first home, relocating to Foley, buying new construction, building on land or financing an investment property, Fairhope Mortgage can help you evaluate your mortgage options.

We can help you compare estimated monthly payments, down payment requirements, cash needed to close and available financing structures.

Contact Tom Kalagher at 251-391-5618 to get started.

Buying or building a home in Foley involves more than choosing a mortgage. Local development, zoning, property taxes, flood zones and USDA eligibility can all affect your financing decisions.

The following official resources can help homebuyers research properties and make informed decisions.

City of Foley — Official Website

Access city government information, public services, community news, development updates and resources for residents and prospective homebuyers.

https://cityoffoley.org/

City of Foley — Planning and Development Services

Research zoning, subdivision requirements, planning regulations, land-use considerations and development procedures before purchasing property or planning construction.

https://cityoffoley.org/community-development/

City of Foley — Building Department

Find information about building codes, construction inspections, permit requirements and other matters relevant to new home construction and property improvements.

https://cityoffoley.org/building-department/

City of Foley — Comprehensive Plan and Future Growth

Learn how Foley is planning for population growth, residential development, transportation, infrastructure and future land use.

https://cityoffoley.org/updated-comprehensive-plan-to-guide-foleys-future-growth/

U.S. Census Bureau — Foley Population and Housing Statistics

Review official population estimates, housing statistics, household characteristics and other data documenting Foley's growth.

https://www.census.gov/quickfacts/fact/table/foleycityalabama/PST045225

Baldwin County Revenue Commission — Property Taxes

Research property assessments, property tax information and available exemptions. Buyers should verify anticipated property taxes rather than relying exclusively on the seller's existing tax bill.

https://www.baldwincountyal.gov/government/revenue-commission

FEMA Flood Map Service Center — Flood Zone Information

Review official flood hazard maps for a specific property. Flood designations can affect insurance requirements and the total monthly housing payment.

https://msc.fema.gov/portal/home

USDA Rural Development — Property Eligibility

Check whether a specific Foley-area property may qualify for USDA financing. Eligibility depends on the exact property location, household income and other program requirements.

https://eligibility.sc.egov.usda.gov/eligibility/

Baldwin County Government — County Services

Access county government information and resources related to public services, property records and local departments.

https://www.baldwincountyal.gov/

Need Help Understanding How These Requirements Affect Your Mortgage?

Fairhope Mortgage helps Foley buyers evaluate financing options alongside property-specific considerations, including insurance, flood zones, HOA dues, property taxes, manufactured home requirements, construction costs and USDA eligibility.

Tom Kalagher | NMLS #2028566

Fairhope Mortgage | 251-391-5618

Tom Kalagher | Founder & Branch Manager, Fairhope Mortgage

Tom Kalagher, NMLS #2028566, is the Founder and Branch Manager of Fairhope Mortgage, based in Fairhope, Alabama.

Since 2020, Tom has helped homebuyers, homeowners and real estate investors throughout Baldwin County and the Alabama Gulf Coast explore residential mortgage financing.

His experience includes FHA, VA, USDA, conventional, DSCR, construction, manufactured home, down payment assistance, refinancing and financing solutions for self-employed borrowers.

Tom serves clients throughout Foley, Fairhope, Daphne, Spanish Fort, Gulf Shores, Orange Beach, Mobile and surrounding communities.

Tom Kalagher — NMLS #2028566

Fairhope Mortgage, LLC — NMLS #2561450

314 Magnolia Ave, Suite 101
Fairhope, AL 36532

Phone: 251-391-5618

Equal Housing Lender

Mortgage programs, interest rates, terms, down payment requirements and eligibility are subject to change. Not all borrowers or properties will qualify. This information is for educational purposes and is not a commitment to lend.