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Find the ideal, affordable home in Cavetown, MD

There’s something for everyone in the small city of Cavetown, Maryland. Everything you need, from schools and shopping centers to grocery stores, is all within an easy driving distance from this perfect location. Boasting a wide selection of single-family houses and apartments and mortgage rates lower than the national average, it is just the place to call home. Trust us, you won't find a better time to buy than now. We've even included this easy-to-use calculator to help you get started.

Get ready to call the small city of Cavetown home

Low mortgage rates and a wide selection of homes make moving here easy

Mortgage rates in Cavetown are currently lower than the national average, and the Cavetown median home price sits at $206,950, making right now the best time to buy a new home in this small city. Choose from a wide variety of single-family houses and cozy apartments. With nearby shopping centers, restaurants, and grade schools less than 5 miles away, the city of Cavetown is great for individuals, families, and retirees alike. While this town is low on walkability, everything you and your loved ones need is located within a close driving proximity. As for commuting time to work, the average commute takes 20 to 25 minutes. Tornado and earthquake activity in this area is near the Maryland state average, so always be sure to research safety procedures and advisories around your target area.

Find the best home loan for you and your needs

Buying your perfect new home in Cavetown is just one simple home loan away

Congratulations! You've decided to become a homebuyer. But before you can buy your new home in Cavetown, you need to get a home loan. Mortgage rates will depend upon your credit score, the ZIP code of your target neighborhood, down payment, purchase price, and of course, the purpose of the loan. Remember to talk to your realtor to see if you qualify for any special rates or discounts before deciding on a rate. Already have your dream home and looking to refinance instead? Refinancing gives you the option to put aside some of your hard-earned money for things other than your mortgage, such as your kids' college tuition or that exciting trip you've been planning. If you are looking to switch from an ARM to a fixed rate, or changing your term from a 15-year to a 30-year, Earnest will let you know how much you can save.

Common Questions About Cavetown 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.