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Mechanicsville mortgage rates for any budget

Look no further than Mechanicsville and become a homeowner in this safe town. Mortgage rates here are made to fit your budget and lifestyle. A healthy economy makes this town a perfect place to live and work. With affordable mortgage rates nationwide, now is the time to invest in your future Mechanicsville home.

Finance your perfect home in Mechanicsville

Escape to the city or the ocean

Mechanicsville makes homebuying affordable, with a median home price of $278,000 (which Zillow indicates has increased in the past year). A small town, Mechanicsville is located between the shore and the city, allowing you to live in the best location possible. Access local charm and city amenities quickly and easily from your Mechanicsville home. The average income of a household in Mechanicsville in 2013 was $78,233, according to city-data. This figure is $5,750 more than the state average, indicating a healthy local economy. Come to Mechanicsville to get the life you've always wanted. It's ready and waiting for your arrival.

Purchase your new home in Mechanicsville

An unbeatable loan for your lovable new home

Whether you're looking for your first home, a place to watch your family grow, or a residence to retire in, the home search process can be overwhelming. Earnest helps you get everything in order, with your checklist as a priority. Your realtor can help with questions about specific properties; mortgage rates are where we come in. Homebuying and refinancing are quite similar, and we can help with either. Our job at Earnest is to get you the best loan for your dream home or help you refinance your mortgage so you can finally go on that vacation you've been dreaming about. Buying a home or refinancing is a big decision with the potential to be stressful. Earnest relieves a huge amount of the burden with our reliable and customized loan calculator.

Common Questions About Mechanicsville 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.