Alert Message

Georgetown: a place where greatness awaits

Located near the coast of Maryland in Cecil and Kent counties, Georgetown is an extremely small community with a population of 150. WIth its small town feel, it's no wonder that the length of time people live there is well above the state average. Home to a number of locations on the National Register of Historic Places and surrounded by lush Maryland scenery, Georgetown is sure to please anyone who gravitates towards the simple things in life.

Tiny town, big heart

Know your neighbors and love your life in Georgetown

Do you long for the simpler small town days of the past? Georgetown is the perfect place for you. Surrounded by expansive natural beauty that experiences four full seasons, this community is ideal for nature lovers, relaxation-seekers, and families who want to take a step back from the hustle and bustle of modern day living. In the summer, residents can enjoy water sports and east coast sun, while the winter offers nearby skiing and skating opportunities. With affordable home prices, low unemployment rates, and relative safety from natural disasters, Georgetown provides a rare level of security and support to residents.

Granting your Georgetown wish

Earnest can make your homebuying experience as simple as a small town

Georgetown's simplicity is one of the biggest draws to the area, but the process of purchasing a home is still overwhelmingly complex. With countless websites to search and open houses to sift through, the stress of homebuying can be intense to say the least. Earnest is here to help so that you can continue to focus on the important things in your life without getting buried in the details of your new residential situation. Earnest will work closely with you to discuss your unique financial situation and your biggest priorities when considering a new homeownership opportunity. By helping you pinpoint your preferences and price range to make the process of buying a home as simple as possible, Earnest will have you calling a Georgetown home yours in no time.

Common Questions About Buying a Home in Georgetown

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.