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A fast paced lifestyle right outside Baltimore

Sparks Glencoe is a large suburb located 20 miles north of the state capital of Baltimore. Sparks Glencoe offers the perfect opportunity to live within driving distance of Baltimore and not pay the price of living in the capital. According to Zillow, the average home is valued at $325,200 with a predicted rise of 1.6 percent in the next year. Homebuyers should look to pay around $203 per square foot for their house.

Now is the time to buy

Everything you should know about buying a home in Sparks Glencoe

Those looking for a busy suburb with all the perks of a big city would find Sparks Glencoe to be one of the best. The average home is priced at $325,200. This is up 2.1 percent from last year with a predicted rise of 1.6 percent in the next year. This is the perfect place if you are looking for a stable market that has little chance of changing in the next year.

City life awaits in Sparks Glencoe

City life without the headache

The estimated population of Sparks Glencoe is not available at this time. Despite this, being located just north of Baltimore is a good indication that the population size is larger than some smaller towns throughout Maryland. This is meant to be a fast paced lifestyle where there is always something to do. Sparks Glencoe offers ton of employment opportunity. It is the location of the world headquarters of McCormick & Company. It also contains the headquarters of FILA USA, a sportswear manufacturer. The popular North Central Railroad Hike-Bike Trail runs through Sparks Glencoe along the basin of the Gunpowder Falls, as known as the Gunpowder River. The city has a walk score of 22. This means most transportation relies on cars.

Common Questions About Buying a Home in Sparks Glencoe

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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