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Make College Park home now

Located in Prince George's County, College Park is the home of the University of Maryland and a vibrant Middle Atlantic community. Originally settled by those seeking a home somewhere less crowded than nearby Washington, D.C., College Park's neighborhoods capture the magnificence of the capital in its architecture without the traffic jams or urban cacophony. With plenty of single family homes and multi-room brick houses on the market, College Park is bound to appeal.

Student or not, College Park is your campus

History and style collide in this hip town

College Park is chock-full of spacious single family homes in all of its neighborhoods. No matter which part of the city you decide to reside in, College Park has everything you'd want in a community. Take time to investigate comps (recently sold homes) and property taxes. According to Trulia, the median home sales price in College Park is currently about $297,700.

Call College Park home

These homes pass with flying colors

Buying a home in College Park is rewarding, but the search process can be overwhelming. With so many neighborhoods to compare, websites to browse, and open houses to visit, the process of finding your dream home at your dream price is rarely quick. Earnest helps identify your priorities (walkability, commute time, proximity to beaches, etc.) and then analyzes your unique financial profile to determine your target home price. With median home prices in College Park of around $297,700, the cost of living here is affordable when you consider the countless amenities.

Common Questions About Buying a Home in College Park

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.