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Low mortgage rates make homebuying simple

There is no ignoring that mortgage rates are at extreme lows across the nation. Now is the time to begin your investigation and take into account the factors that can contribute to the process of homeownership. Big Pool offers a supply of affordable acres and homes, perfect for all types of families and those who love to hang out outdoors. Start exploring how much you can afford and how much you get for your money with Big Pool's low mortgage rates.

See just what your money can buy in Big Pool

Choose your home or land from an array of options

Big Pool is full of small and large facilities and green spaces for recreational purposes. Its collection of homes may overlook a body of water or back up into Licking Creek. Whether you choose a home surrounding many acres of land or a home that straddles the next neighborhood, there is something to fulfill everyone's needs. According to Trulia, the median home sales price is $135,000 which makes now a great opportunity to take advantage of the low mortgage rates. With the ample supply of comforts available in and around Big Pool, you won't regret in investing in true rural living.

Big Pool's most effective home loan

Stay calm with low mortgage rates

Financing a new home can be quite an adventure, but with careful planning and expert assistance, you'll find the process quick. Research is essential to your planning. One of the initial steps for homebuying is to secure a loan. Earnest encourages loan preapproval. Once you calculate the mortgage of the home, in addition to affordability and the loan amount, you can move into the next steps. Refinancing your current mortgage can be quite complicated but Earnest can make the process easier. This useful tool allows you to save money for the other significant events in your life. Don't be discouraged; invest in your Big Pool home today.

Common Questions About Big Pool Mortgage Rates

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.