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Become a homeowner with a Parkton mortgage

With mortgage rates dropping across the U.S., Parkton home values are on the rise. Although Parkton is small, it has a variety of housing options to choose from. Commuters, families, and individual homebuyers can all find an arrangement that suits them. Act fast and start your investment today. Earnest has even created mortgage loan calculator to help make this process as smooth as possible— check it out.

Affordable homes in Parkton, Maryland

Make yourself at home

As of 2014, the median value of a home in Parkton is $408,900. This price rose 2.7 percent in the last year, and is projected to rise another 1.8 percent in the next year. While the list price per square foot is slightly above the Baltimore metro average, this rural town is worth the price as it offers an array of restaurants, has a nearby vineyard, and is within close proximity to many other forms of entertainment. Don't let the chance to live in this unique town slip away. Let Earnest help you find your dream home with a mortgage within your budget, today.

The mortgage loan for you

Find your loan in Parkton, today

After you have found your dream home, your next step is to apply for a mortgage loan. Many factors are taken into account when determining the cost of your mortgage: your current income, ZIP code, credit score, down payment, etc. Even with your dream home within reach, this process can be intimidating. We encourage you to speak with your realtor regarding any discounts or special offers that you may be eligible to receive. Apart from purchasing your first home, perhaps you are in the market to refinance your home. If so, Earnest is here to help you too. Give our easy-to-use loan calculator a try to find out what benefits you're eligible for.

Common Questions About Parkton 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.