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Invest in the Leonardtown home of your dreams

Older homes are perfect to invest in: You can always renovate and sell an old home, even if you don't want to live there yourself. But why wouldn't you want to live in Leonardtown? There's lots to do right outside your door. Zillow expects median home values in Leonardtown to increase by 2 percent next year, so hurry up and purchase your home so you can start reaping the benefits. We'll help you calculate what mortgage rates work for you so that you can call yourself a homeowner today.

History and family fun are in Leonardtown

Find a home perfect for your family right here

Centrally located, with a beautiful town square, plenty of wineries, and a trail along the Breton Bay Area, Leonardtown is full of things to do--and it couldn't be more affordable. Bankrate reports that mortgage rates are as low as 3.9 percent right now, and that's with just a 20 percent down payment. Earnest can work with you to narrow down all your options, but rest assured that you won't have to settle for less than you want in Leonardtown. There are beautiful homes everywhere, of many different types, and they're all affordable. Where you end up just depends on what you're looking for, so let Earnest help you figure it out.

Leonardtown is convenient to D.C.'s amenities

Traveling has never been so easy

Becoming a homeowner can be stressful, but fear not! Earnest is here to help. Whether this is your first time buying a home, the next place to grow your family, or your preferred retirement residence, Earnest can help you secure an affordable mortgage rate within your desired budget. But remember, Leonardtown is extremely affordable, so you're bound to find something you love no matter what your budget is. Alternatively, if you're simply looking for some information on refinancing your home, Earnest can provide help on that front, too. Earnest specializes in both homeownership and refinancing, so you're in good hands if you need to free up money for another big life event. Find your best mortgage rate with Earnest.

Common Questions About Leonardtown 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.