Mortgages | Katahdin Trust Company (Houlton, ME)

Mortgage Loans

Let's build something great together!

Whatever your lending needs are, let us help you determine the best option for you.

Work with a local lender, every step of the way.



Home Loan Programs

Whether you’re looking to buy, build, remodel, or refinance, you can count on us to help with your home, camp, or real-estate project. Katahdin Trust is a locally owned and managed community bank that’s been around for more than 100 years. Let's find a lending solution that works for you.

Fixed & Adjustable Rate Loans

 Popular for buying or refinancing a home. Available in varying term lengths, a fixed rate offers stability while an adjustable rate generally offers a lower initial rate that adjusts periodically throughout the life of the loan.


Construction Loans

Create your perfect home or camp with a loan that features project and permanent financing with a single closing. Take the stress out of your building project with our flexible approach to construction financing.


First-Time Homebuyer

If this is your first time buying a home, our Loan Officers are here to guide you through the process. They will help you determine what you can afford and review your financing options. This includes down payment resources and assistance programs.


Rural Development

If you’re planning to buy a home in a rural area, a USDA loan may be an option for you.


Special Properties

Whether you’re looking to raise your crops, or your family, or have room to play, let our experienced lending team create the right loan for you.


Ready to Get Started?

 Apply online or call your local branch to speak with a local mortgage specialist.

Apply Online Loan Application Checklist Find a Location

All loans are subject to credit approval. Property insurance is required. Conforming Loan Payment Notice

Compare Fixed Rate & Adjustable Rate Mortgages

LoanFixed Rate MortgageAdjustable Rate Mortgage


This is an excellent option if you plan to keep your home for a long time or don't predict much change with your income. Even if interest rates should increase, your mortgage interest rate will stay the same.

An Adjustable Rate Mortgage (ARM) is ideal if you plan to keep your home for a short period of time. It's also a good option for those who predict that your income will grow.


  • Fixed payment
  • Guaranteed interest rate for the life of the loan
  • No prepayment penalties
  • Fast decision times
  • Competitive market rates
  • Suitable during higher interest rate environments
  • No prepayment penalties
  • Fast decision time

 Flexible Options

  • Low down payment options
  • Variety of terms
  • Rate buy-down options
  • Mortgage Life and Disability Insurance
  • Escrow account for taxes and insurance available

All loans are subject to credit approval. Property insurance is required.

Personal Construction Loans

Let's build something great together. We're ready for anything.

Contact UsRead More


Find a friendly local expert to make your construction loan happen.

All loans are subject to credit approval. Property insurance is required.

Apply Online Construction Application Checklist

First-Time Homebuyer

Find your way home.

As a first-time homebuyer, you have an exciting journey ahead. We know applying for your first mortgage loan and navigating a complex housing market can be daunting. We want your first home purchase to be a rewarding experience and we're here to help first-time homebuyers any way we can.


How much home can you afford? Take the first step and get pre-qualified.

 Apply Online Calculators

Check the Reason to Choose Katahdin Trust

  • Great fixed rate: 0.25% lower than our fixed rate mortgage
  • Fast credit decision: Get approved quickly with local servicing
  • Quick turnaround: Close loan generally within 30 days
  • Down payment & closing cost assistance: Eligible homebuyers could qualify for up to $29,000 with our Down Payment Assistance Programs!
  • Reduced Cost: You can go as low as a 10% down payment without private mortgage insurance (PMI).
  • Automatic Payments

Added Benefits

  • No application fee
  • No origination fee
  • No administration fee
  • No seller points required
  • No recapture tax liabilities when you sell your home
  • No home inspection (although we always recommend one)
  • Free flood determination
  • Free credit bureau report
  • Variety of terms available

Do I Qualify?

To qualify for a First-Time Homebuyer Mortgage:

  1. You cannot have owned a home in the past 3 years*
  2. You meet the following household income limits:
LocationAroostook County & Patten AreaBangor AreaScarborough Area
Income Limits 1-2 persons < $97,900
3 or more persons < $111,835
1-2 persons < $97,900
3 or more persons < $111,835
1-2 persons < $127,500
3 or more persons < $146,625

Subject to credit approval. Income limits effective 5/1/2024. Homebuyer education is required. If unable to attend a face to face training, borrower must take the Buyers Ed online homebuyer course on the MGIC website at Up to five acres of land allowed. Existing structures only. Our First-Time Homebuyer Program is not associated with the Maine State Housing Authority. *This includes a mobile home and the land it sits on, but if you have owned a mobile home only, not including any land, you do qualify.

Personal Rural Development Loans

Is your ideal neighborhood a quiet spot in a designated rural area?

If so, you may be eligible for a USDA Rural Development Loan through Katahdin Trust.

Contact us


Advantages of USDA Rural Development Loan

  • Down payment is not required
  • Cash reserves are not required
  • Seller contributions are allowed up to 6%
  • Closing costs may be financed in some cases where the property appraises higher than the purchase price. Ask one of our professional Loan Officers for details.

What You'll Need to Consider

  • Income limits based on 115% US median income and adjusted for family size
  • One time 1% guarantee fee

Designated rural area' is defined by the U.S. Department of Agriculture Rural Development.

Special Properties

Katahdin Trust offers affordable finance options to help with the purchase of:

  • Land
  • Seasonal camps or vacation homes
  • Second homes
  • Investment or rental properties (1 - 4 family)



Home Equity

Use the equity in your home to finance a home improvement or remodel project, vacation, college costs, or other big purchases with a Home Equity Loan or Line of Credit.


Personal Loans

A loan for just about anything – whether you have an unexpected expense or want to buy yourself something special, you can find a loan to fit your needs.


All loans are subject to credit approval.

Conforming Loan Payment Notice

All loan payments to Katahdin Trust must be accompanied by either an account number, payment notice or payment coupon provided. Mailed payments must be sent to Katahdin Trust, PO Box 36, Houlton, ME 04730. Loan payments may also be made in person to Katahdin Trust personnel at any of our branch locations.

Payments must be received by 6:00 pm Eastern Time Monday through Friday (except bank holidays) to be credited as of that date. All other payments received will be credited as of the next business day or as otherwise permitted by law.


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