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Greenbelt mortgage rates are right within budget

Greenbelt mortgage rates are at an all-time low, meaning that now is the best time to purchase a home in the area. With budget-friendly homes and condos, there are many styles to fit your needs in this wonderful area. Settle down in a family- and commuter-friendly neighborhood now. All of the attractions and charm of Greenbelt are waiting for you.

Go after your Greenbelt home today

Beautiful homes and a prime location are everything this area has to offer

Your wonderful new home awaits you in Greenbelt. Greenbelt's prime location keeps you close to Washington, D.C., without being too close. With mortgage rates at affordable lows, now is the time to invest in a prime location close to the city, but far from the noise. Greenbelt is perfect for every budget and lifestyle, with everything just a short drive away. Home values in the area are much lower than the Maryland state average, according to Zillow. The median home value in Greenbelt is $160,400, making now a prime time to invest. The average household income in the Greenbelt area was $58,732 in 2013, according to city-data--a significant increase from what it was in 2000 ($46,328). Be a part of this thriving community. Become a homeowner in Greenbelt.

Affordable living is right in Greenbelt

Be where you want to be at a price you can afford

Whether you're a new homebuyer, retiree, or looking to refinance a current mortgage, Earnest can help you streamline the process and make it stress-free. If you're buying a home, Earnest helps you identify the important factors that will affect your mortgage rate, such as your credit score, loan purpose, purchase price, and even your ZIP code. Since refinancing a home is a similar process, Earnest can assist you in switching your term or changing your ARM to a fixed rate. Whichever category you're in, Earnest is here to help with an easy-to-use loan calculator. Get ready to make yourself at home in Greenbelt.

Common Questions About Greenbelt 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.