Kern County has been ranked the second-most affordable real estate market in California, which makes purchasing a home in Bakersfield an attractive investment. The right mortgage company can make the homebuying process less stressful by helping you determine a budget and finding the best loan for your situation. Our partners at ConsumerAffairs researched the best mortgage lenders in Bakersfield to assist you in making your home ownership dream a reality.
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With median home prices below the average for California, Bakersfield is a relatively affordable housing market. The current median home price is around $226,000, and prices have risen more slowly during the past five years than they have in other parts of the state. Home prices are expected to increase around 4.6 percent annually, making a home purchase a solid investment.
An uptick in home sales means fewer houses are on the market, and it can be more difficult for buyers to compete for available homes. Houses in the $250,000 to $350,000 range tend to sell quickly. Buyers can work with mortgage lenders to prequalify for a loan, preparing financial information to allow them to move quickly once they find a home they want to buy.
New housing developments are springing up all around Bakersfield, and downtown is also experiencing redevelopment. The Mill Creek district in Central Bakersfield offers newly built apartment homes in the center of town, close to Amtrak, arts and culture attractions, the Civic Center and park areas. The median home price in Central Bakersfield is $234,100.
Lakeview, to the southwest, comprises mostly new, large single-family homes, and the median home price is $428,106. The Lakeview neighborhood offers a suburban setting but is still conveniently close to downtown Bakersfield.
Types of mortgages available in Bakersfield
The type of mortgage that’s best for you will depend on multiple factors. If you choose to purchase a home in Lakeview, you may need to use a jumbo mortgage, which is necessary for high-value homes. If you’re looking for homes in a rural area, you may qualify for a USDA loan. Some common types of mortgages are:
Conventional loan: These loans are not guaranteed or insured by any government agency. Buyers who have high credit scores and can afford a large down payment are best qualified for this type of loan.
FHA (Federal Housing Administration) loan: FHA loans are guaranteed by the federal government and have options for homebuyers with lower credit scores. This loan requires a mortgage insurance premium and generally costs more over the life of the loan.
VA (Veterans Affairs) loan: These low-interest loans are available for active members of the armed services, military veterans and surviving spouses. The U.S. Department of Veterans Affairs guarantees the loan, which has no mortgage insurance requirement and no down payment. The California Department of Veterans Affairs assists with VA loans.
HUD loan: The U.S. Department of Housing and Urban Development guarantees these loans, which are available to low-income borrowers.
Jumbo loan: These loans are for high-value mortgages that do not conform to the standards set by the major lenders and therefore are not eligible to be guaranteed or securitized by Fannie Mae or Freddie Mac.
USDA loan: The U.S. Department of Agriculture guarantees these loans. They are available to buyers in rural areas, and some regions close to Bakersfield qualify for this type of loan. Interested California buyers can learn more and check property eligibility on the USDA Rural Development Program website.
AmeriSave is a national lender active in 49 states. They offer all types of mortgage products and allow you to get an online rate quote in less than a minute. Bakersfield homebuyers appreciate the company’s informative website and online process, and many reviewers comment on the helpful customer service.
HomeDirect is an internet-based, direct mortgage lender based in Kansas City. The company uses cutting-edge technology to make the homebuying process stress-free and straightforward. Many reviewers mention the company’s expertise on VA loans and note the company’s quick processing and helpful loan officers.
Platinum Home Mortgage
Platinum Home Mortgage is a mortgage broker that offers a second-look service for those who have previously been denied by other lenders. Veterans should visit the website for a special code that waives lender fees. Bakersfield customers appreciated the friendly, professional agents who helped them realize their homeownership dreams.
New American Funding
New American Funding is a national company with dozens of branches in California, including one in Bakersfield. They offer many types of loans and can help you find the one that best suits your needs. Many first-time homebuyers say the company’s agents made the mortgage process easy to navigate.
Our partners independently research and analyze the companies mentioned in our guides and work with subject matter experts to add valuable information that helps consumers make smart purchase decisions. Our partners will not include companies on these guides that do not meet specific quality standards. The compensation we receive from our partners may impact how and where companies appear on our site, including the order in which they appear.
Our partners independently research companies, and use editorial discretion to award companies with special recognition (i.e. Best Value) based on their staff’s judgement or subject matter expert’s judgement. Our partners do this to help you identify companies that will meet your specific buying needs, and do not receive compensation for these designations.