Lender review
Towne Mortgage Company review: what Michigan borrowers should know
A four-decade Troy institution that stays deliberately mid-sized. Strong on FHA, USDA and 203(k) renovation lending — the loans big digital lenders tend to handle poorly.
Best for: fha and renovation loans with hands-on processing
Best fit: buyers whose file has a wrinkle
- Headquarters
- Troy, MI
- Founded
- 1982
- NMLS
- #3028
- Min. credit score
- 580
- Min. down payment
- 3.5% (FHA)
- MSHDA MI Home Loan
- Approved lender
What works
- Deep FHA/203(k) renovation expertise
- Manual underwriting available for thin credit files
- Local processing teams — you talk to Michigan staff
What to watch
- Smaller product menu than national lenders
- No published rate tables online
- Limited weekend availability
The full picture on Towne Mortgage Company
Some lenders chase scale; Towne Mortgage has spent four decades in Troy deliberately not doing that. Staying mid-sized has let it keep the kind of hands-on processing that vanished from most shops long ago.
Built for tricky files
Its reputation rests on the loans the digital giants tend to fumble: government and renovation lending, handled by Michigan staff who talk to you directly.
Narrower by choice
You give up some breadth for that attention. The product menu is narrower than a national lender's, there are no rate tables posted online, and weekend availability is limited.
This is a lender for the buyer who'd rather talk to Michigan staff than feed documents into a portal and hope for the best.
Loan programs at Towne Mortgage Company
Which core Michigan loan types Towne Mortgage Company offers, with the typical minimum down payment for each program. Program floors are industry standards — Towne Mortgage Company's own minimums or credit overlays may run higher.
| Loan program | Offered | Typical min. down |
|---|---|---|
| Conventional | ✓ Yes | 3% |
| FHA | ✓ Yes | 3.5% |
| VA | ✓ Yes | 0% |
| USDA | ✓ Yes | 0% |
| Jumbo | — No | — |
| Construction | — No | — |
Also offers: Renovation (203k).
Where Towne Mortgage Company's credit bar sits
Towne Mortgage Company's roughly 580 minimum sits in the fair credit range. Below, that 580 floor is plotted against the four broad credit tiers and the 620 median for the 55 Michigan lenders we track.
| Towne Mortgage Company | Michigan median* | |
|---|---|---|
| Editorial score | 4.0 / 5 | 4.0 / 5 |
| Min. credit score | 580 | 620 |
| Loan programs offered | 5 | 5 |
| Michigan-headquartered | Yes | — |
*Median across the 55 Michigan lenders in our catalog.
Compare: Huntington Bank Michigan Mutual (MiMutual Mortgage) Chase This week's Michigan rates
Towne Mortgage Company: frequently asked questions
What credit score do you need for a Towne Mortgage Company mortgage?
Towne Mortgage Company generally looks for a credit score around 580 on its most common loans. Its FHA loans can go lower — often to 580, or 500 with a larger down payment — while conventional and jumbo loans usually want higher scores. That 580 is a floor, not a promise: every lender layers on its own overlays, and approval still turns on your income, debts and the property.
Will Towne Mortgage Company sell my mortgage after closing?
It may. Many lenders sell the servicing rights to a loan after closing, so ask Towne Mortgage Company directly whether it retains servicing or transfers it — your rate and terms won't change either way.
Independent and unpaid — Towne Mortgage Company did not pay for placement. How we score every lender (and where our rate data comes from) is set out in our editorial policy. Figures reflect public information as of 2026-07-16 and can change; the only rate that binds a lender is a written Loan Estimate. Verify the license at NMLS Consumer Access (#3028). MSHDA status reflects the state's MI Home Loan lending-partners list dated June 12, 2026, which changes over time.