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Why a Palm Beach Gardens home is a good investment

According to City Data, the median price of a home is $281,044 (as of 2013). Property prices have appreciated by 93% since 2000, so you could take advantage of this if you own a residence here. There are all sorts of homes available in Palm Beach Gardens, from a brand new four-bedroom 1,600 square-foot home with a great view of the water to a $1.5 million residence that is the ultimate embodiment of luxury, replete with its own swimming pool.
Tampa, Florida, USA downtown city skyline over the Hillsborough River.

Life in Palm Beach Gardens

A Unique Place to Live, Learn, Work, and Play

Palm Beach Gardens It is spread over 55.3 square miles and over 25,000 people have moved here since 2000. Because of its proximity to the water, there is no shortage of fun-filled activities. Boating, snorkeling, kayaking, scuba diving or fishing - take your pick. On land, you could enjoy a round of golf. The 12 picturesque golf courses here have earned it the name of ‘The Golf Capital of the World’. If you want to get close to nature, there is the Loxahatchee Slough Natural Area, spread over 12,841 acres. You could also experience a range of amazing flora and fauna in the Frenchman’s Forest Natural Area. There is no dearth of avenues for recreation. Retail outlets, spas, restaurants, art galleries, pubs, extreme sports et al abound in the area. There are several private and public schools for grades PreK-12.
Tampa, Florida, USA downtown city skyline over the Hillsborough River.
The dynamic Miami skyline at night and a couple of palm trees.

Get a home with the help of Earnest

Low rates. Simplified paperwork. What more could you ask for?

For first-time home buyers, there is the Florida First Time Home Buyer Grant Program. You could receive up to $15,000 to purchase your first home. This could go towards the downpayment on your Palm Beach Gardens home, lessening your mortgage. And the monthly mortgage payment itself need not be steep, thanks to Earnest’s low rates. We will pre-approve your mortgage so that you know exactly which homes to look at in Palm Beach Gardens. If you already own a home in Palm Beach Gardens, take a look at our refinancing plans. A fixed rate mortgage could save you thousands of dollars when compared to the adjustable rate mortgage that you may be on. This also protects you from rate increases in the future, and the best time is now, when rates are at an all-time low.
The dynamic Miami skyline at night and a couple of palm trees.

Common Questions About Palm Beach Gardens 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.