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Edgewood mortgage rates for every homebuyer

Being able to afford a home is important, especially after searching for the perfect area for so long. Get moving on a mortgage in Edgewood so you can have your dream home. With mortgage rates at nationwide lows, now is the time to buy. Work and live in Edgewood today!

Affordable living starts in Edgewood

Home loans for your budget

Edgewood provides the perfect homes in the perfect location. With a short drive to Baltimore and a median home price of $149,200 according to Zillow, it is an excellent location to buy a home. Median home prices are approximately $116,200 less than the current Maryland state average, so now is a great time to purchase Edgewood property. Whether you want to stay in for a peaceful night to relax or go out to enjoy a night in the city, come home to your lovely Edgewood house. Beautiful neighborhood attributes and a healthy economy are waiting for you. Since 2000, the average household income of the area has increased by $4,553, currently totaling $51,703 according to city-data. Come and join this thriving community.

Edgewood mortgage rates will make you smile

Home loans you can be happy about

Homebuyers and those looking to refinance their mortgage have a lot in common--at least in terms of their to-do lists. Many factors can affect your mortgage rate, from your credit score to the down payment to the purchase price and even your ZIP code. Let Earnest help you get the best home loan possible, or refinance your mortgage to free up money for college tuition or other projects. Personalized, helpful, and thorough service can be found with Earnest. Don't wait any longer! Find your peace of mind in Edgewood today, with Earnest by your side.

Common Questions About Edgewood 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.