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Four Trending Mortgage Products to Watch in 2023


We saw many changes in the Real Estate market in 2022, with a paradigm shift taking place when the federal rate hikes began making an impact mid-year.

Closely following the rate hikes, we saw changes that made life a little more difficult for realtors, consumers and, believe it or not, mortgage lenders. As rates have increased, we have seen buying power drop, but home prices staying relatively consistent. When you couple this with the steady rise in consumer demand, it made for an interesting year-end and exacerbated the inventory dilemma we have experienced here in New England for the last few years.

Despite its challenges, 2022 lead to the creation of some exceptional mortgage products and mortgage accelerators. These programs have allowed consumers to regain some of their lost buying power and receive assistance for the down payments they may need to be competitive.

Let’s highlight four trending mortgage products for 2023, helping to keep buyers on their journey to homeownership:

1. NH Housing Home First & Home First +

In 2022, NH Housing launched the Home First and Home First + programs which they describe as “a Mortgage Bond program which provides a rate-advantaged mortgage with the option to add a fixed $10,000 in cash down payment assistance.” This program is truly a first-time home buyer program that not only offers a low rate, but also allows buyers to take advantage of down payment assistance to jump-start their homeownership. For more details on the qualification requirements for this program, you can contact any one of BNH’s Mortgage Loan Officers.

2. Manufactured Home Loans

With consumer demand remaining steady and inventory of standard “starter homes” remaining at historic lows, consumers have turned back to manufactured homes as a way to jump into homeownership. Whether they sit on their land, in a park or in a Resident Owned Community (ROC), manufactured homes have found new life in this market. These homes have a slower rise in price than standard starter homes, making them more alluring for first-time home buyers. While there are many factors at play, consumers who find the right property can often purchase a manufactured home with little money down. The manufactured home space will most likely remain popular in 2023 as we see inventory remain weak in the typical starter home space.

3. Land Loans

As the inventory of homes is expected to remain low, consumers are looking for alternate ways to capture a bit of the American dream. With that, land loans are becoming a trending product again. As of January 2023, out of the total of 2,709 listings currently showing available on across the state of New Hampshire, 1,042 of those listings are parcels of land. Given the availability of land compared to homes, this is a space to watch in the upcoming market. Combine a land loan with a construction loan, and consumers can create their own solution to the low inventory crisis. A BNH Mortgage Loan Officer can provide program-specific details regarding land and construction lending.

4. Down payment assistance programs and grants

Coming out of the pandemic era, Americans had more cash available due to the COVID relief that was sent out by the federal government. In fact, according to the Federal Reserves’ October 21, 2022, posting, the historic transfers boosted by the federal government meant Americans amassed about $2.3 trillion in savings in 2020 through 2021 ( While this was a helpful boost for many, a few years later we are again seeing the need for down payment assistance and grants to help buyers with their home purchases. In partnership with: NH Housing, NeighborWorks of Southern NH, FHLB’s Equity Builder Program and many others across the state of New Hampshire, BNH has programs that can help buyers get the assistance they need to step into home ownership. In many cases, these grants can help buyers receive up to $10,000 to assist with the costs of buying a home, and they may be eligible for more than one grant. A BNH Mortgage Loan Officer can help you see what is available and guide you in the right direction.

Final Thoughts

Although 2023 may look different for the Real Estate market than the past few years, these four mortgage products will remain prominent. If you want to know more, any of the Bank of New Hampshire Mortgage Loan Officers can provide insight on how these products can benefit you.