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Jessup mortgage options

Found your Jessup dream home? Great! The next step, finding a mortgage that works for you, can be tough. While 30-year fixed mortgage rates average between 4.1 and 4.5 percent, 20-year fixed rates are 20 percent down, with rates ranging between 3.8 and 4.1 percent. Meanwhile, 15-year fixed rates vary between 3.2 and 3.8 percent. Earnest can help reduce your worries by analyzing your budget to help you to find the best mortgage deal possible.

A deeper look into Jessup

A perfect home is more than a house

With a low crime rate, 67 acute care hospitals within 60 miles, and three schools featured exclusively in town, Jessup is a perfect setting for families. Close proximity to Baltimore and Washington, D.C. provides no shortage of opportunities for family outings and explorations at museums, plays, and restaurants. On the other hand, Jessup itself is a safe suburban community, offering families a quiet, peaceful atmosphere inaccessible to city-dwellers. The historical landmarks featured both in town and in nearby Washington, D.C. further distinguish Jessup as a unique and enriching place to grow up. This is a town in which children can truly get the best of both worlds, making it an ideal place for families to set down roots.

Welcome to Jessup, just sign the dotted line

Earnest makes signing your John Hancock something to look forward to

When you work with a company whose primary aim is to be of service, making big life decisions becomes something to enjoy and be proud of, rather than worry about. Earnest Realty will work with you to ensure that you thoroughly understand each step of the homebuying process, empowering you to make the securest and most informed decisions possible. By carefully analyzing your budget, Earnest will make sure that the payment plan you choose for your home is painless and easily manageable. You'll be amazed and relieved at how much financial freedom you possess after purchasing your home.

Common Questions About Jessup 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.