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Riva mortgages rates make moving easier than ever

Mortgage rates are lower than ever in Riva, making now the time to take advantage and look into buying your Riva home sooner rather than later. Whether you're looking for a home to raise your family in or retire in, Riva has a wide range of styles and neighborhoods to choose from. Waterfront residents to inland neighborhoods with traditional single-family homes, there is something for everyone. Let Earnest provide the tools you need to get the house you want.

Riva homes are Maryland's hidden gem

There are plenty of homes to choose from

Riva has a wide range of single family homes, waterfront vacation residences, and more affordable townhouses. Whether you need to make a daily commute into nearby Annapolis or D.C., want to settle down for retirement, or are trying to raise a family--Riva has all of the accommodations you could need. Although there are not any schools actually located within town limits, there are quality public schools nearby in neighboring towns. Also, with low crime rates in the area, residents can feel good knowing their town is a safe space. With home sale prices take a slight dip in November 2016, Riva's median home sale price sits at $417,000. Which, for the location and local accommodations, is a great deal.

The right loan for the right home

Make sure you get a great rate in Riva

Buying a home is an exciting big step in life. However, before anyone can secure a contract, every buyer needs to obtain a home loan. A lot can affect a mortgage rate. ZIP code, loan purpose, loan amount, credit score, and the like can bring your rates up or down. So make sure you research how your rates can change. Discuss with your realtor any discuss you may be eligible for, such as a veterans discount. Once you've done your research and are preapproved for a mortgage, you are on step closer to move-in day! The research for refinancing a home doesn't differ too much from when you initially obtained your mortgage. Refinancing is a helpful tool for when you need to free up some money for life's big moments, like a wedding! Let Earnest help you refinance your home to save you as much as possible.

Common Questions About Riva 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.