While banks remain a favourite for securing a mortgage, there are several other options for sourcing this type of home financing available to qualified consumers. Depending on the country involved, the range of lenders may almost seem intimidating. The thing to keep in mind is that each of these potential lending institutions is worth considering, since at least some are likely to offer interest rates and terms that are competitive with and possibly superior to, the rates and terms offered by the local bank.

The mortgage co
One common alternative to the bank is the mortgage company. This type of financial institution focuses on financing first time mortgages, as well as working with current homeowners to refinance existing mortgages. Depending on the laws and regulations that they must observe, lenders of this type may be able to provide a lower rate and more liberal terms for mortgages. However, it is essential to ensure that the loan contracts offer at least the same type of protection for the debtor that are found in most bank mortgage contracts, especially in regard to late payments or the potential to work out some sort of repayment plan in the event of a job loss or other catastrophic financial situation.
Examples: ING; The Mortgage Company

Savings and loans
Another way of financing a mortgage is a savings and loan association. Institutions of this type function much like banks and offer a number or services in common, including current and savings accounts. In most countries, institutions of this type must follow most of the same regulations that apply to banks, which is a benefit for anyone seeking mortgage financing. In terms of interest rates, a loan officer at a savings and loan association will follow much of the same criteria as any bank, but may place more emphasis on how well the applicant has managed funds over the last couple of years and less on events that happened a few years previously.
Examples: Citizens Savings and Loan Association; Milford Federal Savings and Loan

The credit union
The credit union is another alternative source of mortgages that is worthy of consideration. Also offering many services similar to banks, credit unions are often associated with certain professions and may provide rates and terms for qualified members that are very competitive with bank offerings. As with any lender, it is important to understand how the mortgage contracts are written and what protection is in place for both the lender and the borrower.
Examples: ABCUL; Capital Credit Union

Building society
A building society is a financing option in a number of countries. In some nations, regulations that govern the function of this type of lender are much like those that apply to banks. In other countries a building society may enjoy a number of exceptions to those regulations, making them worth investigating.
Examples: Nationwide; Britannia

Finding which of these options is available is now much easier than in years past. By making use of online resources like MoneySupermarket and Which, it is possible to compare both banks and other lenders to determine which has the best deals. Many of these sites also have online calculators, making it easy to determine if the best rates offered by Wells Fargo, for example, can easily be matched or improved upon by one or more local mortgage companies or credit unions.