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Find the home of your dreams in Benson

Tucked away in Harford County, the small community of Benson promises homebuyers of all ages some small town charm. Despite its modest size, Benson offers residents the luxury of beautiful parks, adorable shops, charming little grocery stores, and more. This all-American town will have you feeling like you stepped into a Rockwell painting. Near the Delaware border but part of the Baltimore metro area, it’s in a location with many options.

Your dream home is among this charming community

Cute shops, tidy parks, and friendly neighborhoods make Benson irresistible

Don’t let its small size fool you! Benson, Maryland is bursting with good, old-fashion, all-American charm. Offering a large array of houses and apartments, this community has much to offer. While the town itself is low on the walkability scale, everything is within a convenient driving distance. Grab some lunch over at the Crab Truck/Seafood Stop or Uncle’s Hawaiian Grindz. Take a day trip to explore the Whitakers Mill Historic District or other nearby parks. Head on down to Pops Market for your weekly grocery needs, or go shopping for some local goods and treasures at Tabitha’s House. Regardless of age or interests, boredom is rare in this lovely town.

Homebuying in Benson can be easy

Don’t let purchasing the Benson home of your dreams turn into a nightmare

Buying a new Benson home is exciting. However that excitement can soon become frustration. From researching different neighborhoods, finding a good realtor, scheduling tours, looking up mortgage rates, and establishing your budget, the process to purchase your dream home can quickly become a nightmare. Thankfully, Earnest is here to relieve that pressure. They offer a simple online application to help you get started and are able to analyze your unique financial situation. They will help determine your priorities as a homebuyer and identify a target home price that is perfect for you and your specific needs.

Common Questions About Buying a Home in Benson

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.