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Afford a Pocomoke City home

Now is the best time to purchase a home in Worcester County. Homes in Pocomoke City, MD are approximately $65,100 below the national average. Don't hesitate! Pocomoke City has something to offer first-time and experienced buyers alike. Earnest's loan calculator will be an immense aid in your search for an affordable home!

Affordable properties you will love

Pocomoke City awaits you with open arms

The median price listing of a Pocomoke City home is $124,300. In only the past year, the value of a home in Pocomoke City has risen by 3.1 percent. This value is expected to increase in the next year by about 1.3 percent, making now the perfect time to invest in a home in this area. The median household income in Pocomoke City was $32,000 in 2013, which is a $3,062 increase from the median income in 2000 of $28,938. With home values on the rise, and median household income only increasing, the ideal time to relocate to Pocomoke City is now!

Affordable Pocomoke City homes a click away!

Earnest takes the hassle out of purchasing a home

Families looking for a safe and welcoming community with plenty of all-ages entertainment to experience will find Pocomoke City a natural fit. If you've settled on living and Pocomoke City, and found yourself your dream home in town, the next step is to secure a mortgage loan. This process can be stressful, which is why Earnest vows to be of assistance every step of the way. You can begin your home search and mortgage loan estimate here with Earnest's simple, easy-to-use loan calculator. This calculator applies to those looking to refinance, as well.

Common Questions About Pocomoke City 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.