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Trappe mortgage rates that make moving easier

Mortgage rates have never been so manageable in Trappe. While the market is currently better for buyers, it won't last forever. Act sooner rather than later to make your Trappe dream home a reality. With a wide catalogue of available homes, let Earnest help you finance your future in Trappe. It's a great and lucrative investment that you'll appreciate for years and years yet to come.

Watch your money go further in Trappe

Quiet, scenic and private surroundings

New, remodeled, and traditional Trappe home are available for any size family. Featuring large yards with ultimate privacy, Trappe residents can feel truly comfortable and at peace in their houses. Whether you want a home closer to the water, or right by the town's center, there is a Trappe home waiting for you. With median home sales prices in November 2016 at $210,000, now is the time to invest in your Trappe home. With public schools nearby, and plenty of outdoor activities to keep you active, there's no better small town. And while there are not really any large cities near Trappe, this only enhances the small town experience, while also alleviating any local traffic.

The right home loan for Trappe real estate

Manageable and a seamless application make Earnest the ideal choice

Before any buyer can make an offer on a home, they first must apply for a home loan. There are a variety of factors than can change your mortgage rates. ZIP code, credit score, loan purpose, loan amount, and so on can all increase or decrease how much you pay for your mortgage. Make sure you discuss with your realtor any possible discounts you could be eligible for, and how your rates can change based on your profile. Once you're preapproved for a mortgage, it's time to find your Trappe home. The research for refinancing your home should be similar to the research you did when initially obtaining your mortgage. However, if you want to change the terms of your mortgage, let Earnest help you make a plan to save you as much money as possible.

Common Questions About Trappe 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.