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A home in North Miami Beach is a good investment

According to City Data, the median value of a home in North Miami Beach was $86,900 at the beginning of the century, which escalated to $147,104 in 2013 – an appreciation of nearly 70%. A three-bedroom 1,428-square-foot home costs $298,000 to own, while smaller two-bedroom ocean-facing condos, measuring about 1,085 square feet in area, come at $265,000. Because it is strategically located between Miami and Fort Lauderdale, more and more people are moving to the area.
View of Miami at sunset, special photographic processing, USA

Living in North Miami Beach

There is a lot the city has to offer

North Miami Beach has a population of 43,664 residents (as of 2014). It is spread over 5.3 square miles, meaning everything is only a short distance away. The city has been rated A+ for amenities and there are several of them. The Greynolds Park is a 256-acre park replete with a golf course, walking trails and a boatshed. The North Miami Beach Public Library has 60,000 books/magazines/CDs/DVDs, plus free-to-use public computers that are Internet-connected. The Oleta River State Park is where you can see birds and marine wildlife. The Ancient Spanish Monastery and the St. Bernard de Clairvaux Church is a breathtaking locale – it is actually a 12th century building that was dismantled and reassembled here, brick by brick. Being a city by the water, plenty of opportunities abound for fishing, swimming, kayaking, scuba diving and snorkeling.
View of Miami at sunset, special photographic processing, USA
Underwater manatee swimming in Kings Bay, Crystal River, Florida

Owning a home in North Miami Beach is now easy

Get yourself the Earnest advantage

When buying a home, every penny counts. That is why we offer low rates and simplified paperwork. If you are a veteran, you qualify for special rates. Living in North Miami Beach is pleasant. It also has several public schools for PreK-12 education needs, plus two university campuses for higher education. At Earnest, we look at your financials and pre-approve your mortgage so that you can look at the right homes that you qualify for. If you already own a home in North Miami Beach, take a look at our refinancing options. You could easily save thousands of dollars with a fixed-rate mortgage, when compared with the Adjustable Rate Mortgage that you may be on. Our low rates can still save you a lot of money even if you are on a fixed-rate mortgage already. Simply contact us to know more.
Underwater manatee swimming in Kings Bay, Crystal River, Florida

Common Questions About North Miami Beach 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

People around a computer

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.