With about 18,528 residents, Westerly is a smaller Rhode Island community, and its median home value of $400,200 is close to the Rhode Island median of $368,800. The median home costs about 4.9× the median household income of $82,333, so many buyers pair a low-down-payment loan with assistance. Higher prices make conventional loans with PMI and state assistance popular.
How much does it cost to buy a typical home in Westerly?
| Scenario | Down payment | Est. monthly payment | Income needed (28% / 36%) |
|---|---|---|---|
| FHA, 3.5% down | $14,007 | $3,478 | $150,000 / $116,000 |
| Conventional, 20% down | $80,040 | $2,807 | $121,000 / $94,000 |
Estimates use the Census median home value, a 30-year rate (see below), Rhode Island's 1.32% effective property tax rate, $2,396/yr insurance (NAIC state average) and FHA mortgage insurance.
Rate assumption: 7.18% (Freddie Mac PMMS 30-year fixed average, week of November 5, 2026). Change it in the payment calculator.
What are the 2026 loan limits for Westerly?
Westerly is in Washington County, where the single-family FHA limit is $787,750 (max price ≈ $816,000 with 3.5% down) and the conforming limit is $832,750. Loans above that are jumbo loans.
Is there down payment assistance in Westerly?
- RIHousing Extra Assistance — Up to 6% of the purchase price or $20,000, whichever is lower; second_mortgage; state-level. Rhode Island Housing · Verified October 23, 2026
What mortgage options do Westerly buyers have?
- Conventional Loan — Not government-backed; as little as 3% down for first-time buyers, PMI removable at 20% equity.
- FHA Loan — Government-insured; 3.5% down with a 580 credit score and flexible debt-to-income rules.
- VA Loan — For eligible veterans, service members and surviving spouses: 0% down and no monthly mortgage insurance.
- USDA Loan — 0% down for moderate-income buyers in eligible rural and suburban areas.
- Jumbo Loan — For loan amounts above the conforming limit; usually 10–20% down and 700+ credit.
- First-Time Home Buyer Loans — Low-down-payment loans plus state assistance programs designed for first-time buyers.
- Self-Employed Mortgage — Options for business owners and 1099 earners, including tax-return and bank-statement loans.
- DSCR Purchase Loan — Investment-property loans qualified on the rental income of the property, not personal income.
- New Construction Home Loans — Financing for a newly built home from a builder, or for building your own with a construction-to-permanent loan.
Home loan options in Westerly
- FHA loans in Westerly, RI
- First-time home buyer programs in Westerly, RI
- VA loans in Westerly, RI
- Conventional loans in Westerly, RI
- Home affordability in Westerly, RI
How much will I pay in property taxes in Westerly?
Homeowners in Rhode Island pay a median of $4,854 a year in property taxes — an effective rate of about 1.32% of the median home value, above the national average (Census ACS). Actual rates vary by county and municipality. Ask your agent for the specific property's tax history.
Nearby cities (Washington County first)
Westerly home buying FAQs
Sources
- U.S. Census Bureau — ACS 2019–2023 5-Year Estimates
- FHFA — 2026 Conforming Loan Limit Values
- HUD — 2026 FHA Forward Mortgage Limits (county file)
- NAIC — Homeowners Insurance Report, Data for 2023 (HO-3 average premium)
- Rhode Island Housing — RIHousing Extra Assistance
Data last updated October 23, 2026.
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Get My MatchesFigures on this page are estimates for educational purposes only and are not a loan offer or commitment to lend. Rates, loan limits, fees and assistance programs change frequently and vary by lender, location and borrower profile. Confirm current terms with a licensed loan officer.