Florence remains one of Alabama’s most stable sub-markets: median sale prices rose 6.1% year-over-year to $215,000 while days-on-market stayed flat at 18, according to the Shoals Area Association of Realtors. Inventory is tight—only 2.1 months of supply—because retirees from Nashville and Huntsville keep snapping up brick bungalows in the historic district under $300k. New construction is concentrated in Cypress Mill, Haddock Crossing, and the 35633 ZIP north of Cox Creek, where builders like Adams Homes offer 1,700-sq-ft plans from $240k and lenders like NMHL can pair 5% conventional with builder incentives for closing-cost credits.

Property taxes are a sweetener: total millage inside the city is 52 mills, translating to roughly $1,040 annually on a $200k house—about one-third what you’d pay in Birmingham. Insurance runs higher because of the Tennessee River flood plain; if a home sits in AE zones south of Irvine Avenue, expect a $1,200 flood policy. We walk every borrower through FEMA’s flood-map portal before you pay for an appraisal so your monthly escrow never surprises you.

East Florence: Vintage 1950s cottages under $175k within walking distance of Cox Creek Park and the new River Heritage Trail extension. FHA 203(k) loans let you roll up to $35k of renovation costs into one fixed-rate mortgage—perfect for updating galvanized plumbing while you keep your 3.5% down payment.

Cypress Mill: The city’s fastest-growing subdivision offers DR Horton and Adams Homes builds from 1,500–2,400 sq ft, priced $235k–$285k, with HOA-maintained lawns and a community pool. USDA eligibility stretches here for zero-down buyers who don’t mind a 15-minute drive to downtown.

Downtown Historic: Tree-lined streets, Tudor and Craftsman facades, and values that have compounded 5.8% annually since 2014. Conventional 3%-down HomeReady and Home Possible work well for buyers with credit scores 680+; note that flood insurance may be required within two blocks of the river.

Forest Hills & Indian Hills: 1970s brick ranches on half-acre lots, zoned for highly rated Forest Hills Elementary. Expect prices $200k–$275k and appraisal gaps common—NMHL offers a $5,000 Appraisal Guarantee that covers shortfalls so you can waive inspection without liquidating your 401(k).

• Alabama Step Up+: 3% grant forgiven after five years—enough to cover the entire 3.5% FHA down payment on a $200k purchase. Income limit $130k for Lauderdale County.
• Alabama First-Time Buyer DPA: $7,500 second mortgage at 0% interest, no monthly payment, due on sale or refinance. Stack it with Step Up to bring cash-to-close under $2,000.
• City of Florence HOME Funds: Up to $10,000 deferred loan, 0% interest, forgivable after 10 years of owner-occupancy. Must contribute $500 of your own funds.
• USDA Direct: Payment assistance that drops your effective interest rate to as low as 1% for very-low-income households; works north of the river in ZIP 35633.
• VA Funding-Fee Waiver: Veterans with 10% or greater service-connected disability can save $4,300 on a $200k VA loan—NMHL handles the VA paperwork in-house so the fee is removed before closing.

Local lenders often decline FHA files under 640, but NMHL’s credit overlay starts at 580 with no additional overlays beyond HUD guidelines. Recent Florence success stories include a UNA graduate with a 592 score who purchased a $148k townhouse in Cypress Shores using 3.5% down and a $5,000 gift from parents, and a self-employed welder rebuilding after Chapter 7 who closed at 620 on a $189k ranch in East Florence two years after discharge.

We use a rapid-rescore vendor that updates credit in 5–7 business days; paying down a maxed-out credit card by $2,200 recently boosted a local buyer’s score 37 points, saving 0.375% in rate and $70 per month. If your mid-score is under 580, we enroll you in the free NMHL CreditXcel plan—payments reported to all three bureaus—and can usually hit threshold in 90 days. Mean- while we pre-underwrite so you’re ready to house-hunt the minute you cross 580.

From session musicians to boutique fashion designers, Florence’s creative economy means irregular income. NMHL’s 12- or 24-month bank-statement program lets you qualify with an average monthly deposit instead of tax returns. Last month a downtown recording-studio owner qualified for a $325k riverside condo with 10% down after we calculated a 24-month average of $7,850 in deposits—enough to support a $2,600 PITI payment at 50% DTI.

If your business pays for equipment on accelerated depreciation, our Asset-Depletion loan divides liquid assets by 60 months to create phantom income. One local dentist bought a $425k Colonial in Indian Hills using $550k in a Fidelity brokerage—no tax returns required, 20% down, and rate fixed at 7%. All loans are self-service through NMHL’s borrower portal; link your Florence bank, and we can issue an underwriting approval within 48 hours.

With veterans comprising 9.4% of Lauderdale County’s population, NMHL maintains a dedicated VA team that understands local entitlement nuances. If you’re stationed at Redstone Arsenal but want to retire near the Robert Trent Jones Golf Trail, we can secure a $715k VA Jumbo with zero down as long as you have full entitlement remaining and a 620 score. Florence’s VA funding fee exemption for Purple Heart recipients saved a local Marine $8,600 on a $280k purchase in Haddock Crossing last quarter.

Surviving spouses of service members who died in the line of duty can also access VA loans; we recently helped a widow purchase a $195k cottage in Forest Hills at 2.25% (rate bought down with two discount points). Because VA appraisals can be picky, we front-load the Tidewater process—our staff appraiser reviews the property before the formal report, cutting typical VA closing time from 35 to 21 days so you beat competing conventional offers in multiple-counter situations common on Florence’s west side.