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Burtonsville mortgage rates simplify homebuying

It's no secret that the real estate market is favoring buyers right now. With prices and mortgage rates on the rise, now is the time to purchase. But finding the right home can be a long and tedious process. Earnest can help by finding a home that matches your budget and preferences. Let us assist with the loan process so you're one step closer to closing on the contract you need to get the house you deserve. At a median sales price of $295,000, find your future home in Burtonsville now.

Quality homes at affordable prices in Burtonsville

From apartments to family houses, there's a home for you here

Burtonsville is the perfect town for those seeking a community they can rely on. Nearby public schools, great local restaurants and shops, and close proximity to Baltimore make Burtonsville the ideal town for anyone and everyone. According to Trulia, the median sales price for a Burtonsville home is $295,000. Home prices are on the rise, so now is the time to look to Earnest for help with mortgage rates and home loans.

The best home loan for Burtonsville residents

An easy application with rates you can't ignore

Buying a home has never been more affordable. However, a lot of work goes into finding your dream property--and figuring out how to finance it can be a whole other headache. With many different factors such as price, down payment, ZIP code, and credit score affecting your mortgage rate, knowing all the ins and outs can be difficult. Let Earnest help you take the necessary steps to find, finance, and finalize the purchase of your dream home. The steps for homebuying and refinancing are actually quite similar. Refinancing can be extremely useful for those who need to free up cash in the short term for life's big events. Whether you're changing your term or switching from fixed to ARM, Earnest is here to help.

Common Questions About Burtonsville 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.