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Mortgage rates to help you greet Georgetown

Georgetown mortgage rates are hovering at relatively low levels. Owning a home in this beautiful Maryland town is an affordable dream. Surrounded by breathtaking scenery and home to a tightly knit population of under 200, Georgetown is a relaxing destination for families and retirees alike. Living in Georgetown gives you an opportunity to get to know your neighbors and the local scenery as well.

Security, support, and simplicity

Georgetown offers the best of the small town experience

With a population of roughly 150, Georgetown is easy to overlook compared to the Maryland cities that shadow it. But this small community offers more security and support than many larger cities in the area. Located in Cecil and Kent counties, Georgetown sits near the coast of Maryland and provides four full seasons of beautiful nature and outdoor recreation. Georgetown also has low unemployment rates and median house prices below the state average, statistics that indicate affordability and security. Moreover, the length of time residents stay in Georgetown far exceeds the state average, suggesting that it's a place people get attached to. With something to offer for both families and retirees, Georgetown is a great destination.

Georgetown's greatest loan

A process as simple as small town living

Want to make Georgetown your town? Earnest's simple process can help. The first step to making your scenic Maryland life a reality is securing a home loan. Mortgage rates in the Georgetown area are currently hovering just below 4 percent but can be influenced by a variety of factors. Ask your realtor about discounts you may be eligible for. When you're preapproved for a loan and the time comes to pursue this new chapter of your life, Earnest is ready to help by making the process as painless as possible. If you're looking to refinance your current home and already know the process, Earnest can help simplify things even further. Don’t wait. Get the money you need today.

Common Questions About Georgetown 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.