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Hurlock has opportunity and affordability

Hurlock is one of the smallest towns in Maryland. Hurlock offers the perfect opportunity to settle down and enjoy a slower pace of life. According to Zillow, the average home is valued at $128,600 which is a great and low price of entry into the consistently increasing median home values in Maryland. Hurlock enjoys the safety and affordability that Maryland has become so well known for and families have taken notice. Almost 70 percent of the homes in Hurlock are owned by families.

Now is the time to buy

Everything you should know about buying a home in Hurlock

The population of Hurlock is one of the smallest in the state. At 2,056 residents, Hurlock’s population is down 5.84 percent from last year. For those looking to take a huge step back and slow down, now is one of the best times to buy a home in Hurlock. The average home is priced at $127,250. This is up 8.5 percent from last year. The small population allows for the average cost of a home in Capitol Heights to come in well under the state average at $147,000. Even though homes in Hurlock are extremely affordable, 35.18 percent of the population rents. This provides some with an alternative to buying a home.

Pause and relax in Hurlock

A quiet retreat from a busy life

The population of Hurlock is extremely small. This south Maryland town is not meant to be a bustling hub for tourists and large corporations. This is a town full of mom-and-pop shops that sustain the residents. However, Hurlock is known for on famous event in Maryland, the annual Hurlock Fall Festival. The festival was started in 1992 and is held on the first Saturday of October. Activities include, a parade of local school bands, volunteer fire companies, and antique cars. There are many arts, crafts, and food vendors that line the street by the town’s historic train station. At the station, the Hurlock Express offers one hour round trip rides to the neighboring town of Federalsburg, Maryland.

Common Questions About Buying a Home in Hurlock

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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