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Finance a Port Deposit home, free of trouble

Now is the best time to purchase a home in Port Deposit. According to Zillow, homes in Port Deposit, MD are approximately $41,500 less than the state average. Port Deposit has something to offer all potential buyers, whether you are a first- time buyer or experienced buyer with mortgage loans. Use the Earnest loan calculator in your search for an affordable home.

Affordable properties you will love

Port Deposit awaits you with open arms

The median price listing of a home in Port Deposit is $220,700, according to Zillow.com. In the past year, home values in the area have increased by 3.2 percent. Home values in the area are also expected to increase by 2.7 percent in the next year, making it a great place to invest in a property. With a healthy local economy, the median household income in Port Deposit in 2013 was $50,418, according to city data. In 2000, this figure was only $34,167. Most residents tend to get around town by car. Low crime rates and a stellar local economy make the area a perfect place to raise children. Earnest makes it easy to call Port Deposit home. Find a home that works with your budget and household size today.

An affordable home is closer than you think

Learn which loans are right for you

Port Deposit is a historic small town on the banks of the Susquehanna River and offers everything you need to make it your own. By using the Earnest simple loan calculator at the beginning of your search, you can gain comfort about the unknown aspects of homebuying. You may have plenty of questions concerning discounts or quirks of a new home, so be sure to work directly with your realtor. Whether you already own an existing mortgage and you wish to refinance., or you are a first-time buyer, Earnest is here to assist.

Common Questions About Port Deposit 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.