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Competitive mortgage rates in Chester

The whole country is in a buyer-friendly market. With mortgage rates and home prices more affordable than ever, now is the time to buy. Chester is host to a wide range of homes. Whether you're looking for a a vacation house on the coast or a traditional single family home, Chester has a home for you. Earnest has the tools you need to make homeownership in Chester simple and fast.

Live comfortably and affordably in Chester

Part-time or full-time living, Chester is the coastal suburb for you

Chester has a variety of coastal land-locked homes available right now. Whether you want a view of the stunning Chesapeake Bay or of Chester's town center, there are homes here for you. The neighborhood communities are the perfect friendly welcoming for any new, visiting, or retiring residents that make Chester their new home. According to Zillow, Chester home values are expected to rise over the coming year. Additionally, homes in Chester are increasingly moving beyond the average home value in Maryland. With more interested buyers in the area, look into purchasing your Chester home before someone takes this wonderful investment opportunity from you!

The Chester home loan you want to use

A home loan with zero headaches and an easy application

Before acquiring your ideal family home or perfect vacation house every buyer needs to apply for a home loan before any negotiations are made. A variety of factors can affect mortgage rates, such as ZIP code, loan purpose, credit score, and the like. Talk to your realtor to see how these will affect your rates, and if you're eligible for any discounts. So after doing some research about what your rates should look like, Earnest can help you gain the loan you need for your new home. You're one step closer to your dream home! When refinancing your home, the research is pretty similar to when you got your first mortgage. Whether you want to change your term limits, or switch your type of mortgage Earnest is here to help!

Common Questions About Chester 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.