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Save on Pikesville mortgage rates now

Mortgage rates in Pikesville are on the rise, making this the perfect time to purchase a new home. While Pikesville is currently a buyer’s market, home prices continue to increase with no signs of stopping anytime soon. Now is the time to buy! The Earnest loan calculator can help you figure out the logistics of buying your new home in Pikesville and determine your mortgage rate. Buying a home can be overwhelming; let Earnest help you move into your dream home!

Buy in Pikesville: the sooner the better

More bang for your buck in the suburbs

A suburb of Baltimore, Pikesville's median home value is $242,300. The city features a long list of amenities, with approximately 100 restaurants, bars, and coffee shops, making it perfect for families. However, like most suburbs in the U.S., Pikesville is a car-dependent town. The foreclosure rate in Pikesville is also higher than the national average, as well as the Baltimore Metro average, and will join other factors in impacting home values in the upcoming years.

Your dream life in your dream home

The comfortable Pikesville lifestyle can be yours

If your family is looking for the benefits of city life without actually living in the city, Pikesville is the place for you. Pikesville offers ample amenities in a location close to Baltimore without the crime rates of the urban center. Earnest will help you make the transition to your dream home--and your dream life! Don't worry about getting saddled with a loan you can’t afford. Earnest carefully considers interest, principal, property taxes, and insurance rates to determine what is affordable for you.

Common Questions About Pikesville 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.