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Your future home is waiting for you

As part of the Baltimore-Washington Metropolitan Area, Frederick is a beautiful small city. With holiday art competitions, candlelight house tours, wine festivals, and summer concerts, it's no wonder why almost 40,000 people decided to call this place home. Earnest can help you find the Frederick home that's right for your budget. Just try our easy-to-use loan calculator.

Your dream home is just outside of DC

Historical and homey, find your next house in Frederick

Once an important crossroads community in colonial times, Frederick now houses singles and families alike. In Frederick, the only type of crime a resident is likely to come upon is a traffic violation, and even that is infrequent. Frederick is a safe, quiet, and peaceful place to live. With its historical background and government that shares every meeting via live video, Frederick offers an charming and open place for residents to live.

Make yourself at home within your budget

Find the space you need for the price you want in Frederick

If you are looking for a home in a modest-sized city in the Baltimore-Washington area, then Frederick is the place for you. Frederick's population is just under 40,000, with an average of 931 people per square mile. With the market favoring buyers, now might just be the perfect time to find your new home. The current median sales price for Frederick is $265,000, that's an average of $162 price per square foot. These values have gone up by 2.9 percent and are expected to rise another 2.5 percent over the next year. Don't waste another second! With over 15,000 houses and condos to choose from, and prices ranging from $30,000 to $710,000, there is truly something for everyone in Frederick. Earnest can help you get a loan to make that dream a reality.

Common Questions About Buying a Home in Frederick

All The Answers You Need to Settle Down Sooner

Should I choose a fixed or adjustable rate?

It depends how long you expect to stay in the home. Adjustable rates are good for people who may not be in the home long, whereas fixed rates are ideal for people who are confident of settling in.

Do I need a home appraisal?

Probably—in most cases, the homebuyer must use an appraiser to evaluate the value of the home. Appraisal costs vary depending on the value of the property, as well as the state the house is in. Buyers cannot choose their own appraiser—the bank makes the decision.

What is PMI?

Private mortgage insurance (PMI) is required when a homebuyer makes a down payment of less than 20%, or when a borrower refinances with less than 20% equity in the home. PMI fees vary according to your down payment and credit score, and adds a premium to your monthly mortgage payment. Please note, PMI is tax-deductible in 2015 and 2016 for certain income brackets.

What does Loan-to-Value mean?

Loan-to-Value (LTV) is the percentage of your home’s value that your loan represents. When refinancing, the calculation is simply the loan amount divided by the appraised value. When buying a home, the LTV is found by dividing by either the purchase price or appraised amount, whichever is lower. When the LTV is less than 80%, the lender generally requires PMI.

For example:

Purchase price: $100,000
Down payment: $15,000
Loan amount: $85,000
Appraised value: $110,000
LTV: $85,000/$100,000 = 85%

What are closing costs?

Closing costs are standard fees associated with a real estate transaction. You will typically pay about 2-5% of the purchase price in closing costs—the exact amount depends on where you are buying (or refinancing), as well as number of extra fees involved in your particular transaction. Earnest charges no lender fees, so the borrower is only responsible for 3rd-party fees.

What should I consider before refinancing my mortgage?

Refinancing your home loan is an attractive option when rates are low. A simple rate and term refinance can help you lower your monthly payment and potentially eliminate your PMI premium, as long as you have built up enough equity in the home. You might also use a cash-out refinance to access some of the equity you’ve built up in the home (which may result in a higher monthly payment on your new loan).

However, keep in mind that refinancing a mortgage does involve several fees (closing costs). Before refinancing, you should calculate the ‘break-even’ point at which your refinanced loan makes up for the closing costs. If you plan to leave your home before this time, it’s better to stay with your current mortgage.

Knowledge Is (Buying) Power

Further Resources from the Earnest Blog

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The intelligent home loan

When it comes to finding the right home loan, Earnest works hard to ensure that the process pain-free. We use an industry-leading and intuitive online-only application (meaning most times no scanner or fax machine required), a 5-star client service team, and a unique rolling pre-approval that stays current while you track down that perfect home. At Earnest, the home loan process is like no other.