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A Park Hall mortgage is waiting for you

The economy has been through a lot of changes, but one thing you can take comfort in knowing is that Maryland homes have been increasing in value for years. Maryland homes are historical, beautiful, and really hold their value. It's an affordable place to live that will surely help you experience the benefits of homeownership almost immediately.

Earnest will help you become a homeowner

Homeownership doesn't have to be stressful

Now is the perfect time to buy your home in Maryland! Maryland homes have increased for values and it's expected for them to continue to do so. Zillow reports that Maryland median home values have increased by 4.3 percent since last year, and they project further growth of 2.9 percent by next year. Mortgage rates are low which makes the prospect that much more lucrative. Bankrate reports that rates are currently as low as 3.9 percent and that's with only a 20 percent down payment. There are many factors that help influence the rates available to you, and Earnest can make sure you get the best rate possible.

Smart rates and great prices

Homeownership made simple

Buying a home is always an exciting process. It can be stressful whether it's your first home or simply your next home, but it doesn't have to be. If this is your first time buying a home, then now is the time to take a deep breath. You've heard stories from people who have bought homes before, but they didn't have the help of Earnest. We make homeownership as easy and stress free as possible. Let us guide you through the process. We can help you buy the home of your dreams at the best rate possible, while also helping you stay within your budget. If you've been considering refinancing, we can help you with that as well. Whatever you're doing with your home, let Earnest guide you through the process so you can get back to enjoying life.

Common Questions About Park Hall 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.