Alert Message

Buying a house in Homestead, Florida? Call now!

Sunny Homestead is no longer just the perfect retirement spot but a bustling commercial hub too. Combining the quaint small- town charm with all the amenities of a central city, Homestead is definitely a good place to buy into. With median home values standing at $151,100, according to Zillow, you can see that real estate here is a good deal when compared to nearby Miami- Fort Lauderdale. And Earnest can help you get the best deals here.
Tallahassee, Florida, USA downtown skyline.

Homestead- A perfect mix of everything right

Beaches, parks, culture and sunshine- what more do you need?

This Miami- Dade County city is located between two major national parks- Biscayne and Everglades, meaning that there is no dearth of green space here. The city is close to Miami and the US1 links it to the rest of the county. Home values in Homestead are on the rise and experts agree that this is the time to invest in real estate here. Despite recent rapid growth, Homestead retains its old world charm and friendly atmosphere. The cultural diversity is another charming aspect you cannot overlook. Import/ export businesses, banking and financial services industries have enabled the economy to thrive.Home to some of the most unique sight seeing spots, such as the coral castle with over 1,100 tons of coral hand carved by Ed Leedskalnin for his lady love, Homestead is sure to capture your heart.
Tallahassee, Florida, USA downtown skyline.
Saint Petersburg bridges

Buying your Homestead is easy and affordable now

Let us help you find your dream home and pay for it, too

Your home is your biggest and most expensive asset and that’s why you should be very careful when making this big decision. Take the time to look at many properties, compare prices and consider all the factors well. Or, talk to us and make the whole process easy and quick. At Earnest, we will help you decide on the best property to meet your needs given your financials. Let us scope out the real estate deals available and direct you towards the neighborhoods and properties that are ideally suited for you.
Saint Petersburg bridges

Common Questions About Buying a Home in Homestead

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

People around a computer

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.