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Get a Silver Spring mortgage easily

The average mortgage rates for homes in Silver Spring is currently between 2-3 percent on multi-year agreements. Now is an excellent time for those considering purchasing property. Silver Spring offers an extensive inventory of affordable homes that accommodate families, couples and singles alike. Earnest has built a simple calculator to help you determine your target price range. Check it out below:

Find your piece of Silver Spring

The Silver Spring community awaits you

Whether you're refinancing or buying your first home, Silver Spring is the place to be. With an eclectic mix of historic homes, modern apartments and modest townhouses, Silver Spring offers options that fit your homeowner needs. According to Trulia, the median home sale price in Silver Spring is about $381,500, with the typical price per square foot averaging at about $249. The average price of a home in Silver Spring has increased by 3.9 percent in the last 12 months, and is expected to increase by about 2 percent over the next year. Silver Spring is also a wonderful and safe sanctuary to live in.

Your golden ticket to Silver Spring

Mortgage rates so low they're playing limbo

Whether you're buying a home, or just refinancing your mortgage, Earnest can help. Use Earnest to refinance your home and help free up cash necessary for things like, say, renovating the master bathroom. If you're keen on changing the length of your mortgage, or just want to find the first property to call your own, we can help you find the best way to meet your homeowning goals.

Common Questions About Silver Spring 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.