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Attain your dream home with top Solomons' rates

Mortgage rates in the Solomons area are at incredible lows. Now is an excellent time to buy a new piece of real estate in the area. Solomons boasts a fine selection of homes ideally suited to single professionals, growing families, and retirees looking for a place to settle down. The area is replete with coastal sights, and features many neighborhood attractions worth checking out. We put together a simple calculator to help you finance a home in the area.

Find your dream home in Solomons, Maryland

Coastal views and small-town living perfect for families and retirees

Solomons is a friendly neighborhood with favorable home prices averaging $268,700. There's a mix of single family homes and townhouses in the area, but single family plots are much more popular. Solomons is a highly walkable community known for beautiful coastal views. Its accessible boardwalk allows you to go out onto the water. It's a boat owners paradise, with plenty of water to explore and excellent fishing conditions during much of the year. With a population numbering just 2,400, Solomons is a very small town, but it's a friendly place to live and a good family environment. Homes are limited in the area and prices are forecasted to rise in the next couple years, which is why interested buyers should begin shopping as soon as possible

The leading home loan opportunity for Solomons

Quick application process with excellent mortgage rates available

Purchasing a home in Solomons is an exciting prospect, but obtaining a mortgage can be a lot of work. Mortgage rates fluctuate depending on loan type, credit score, and down payment. Earnest can help you decide on the best mortgage program for your needs, while simplifying the application process. If you're taking a look at our mortgage program with the idea of refinancing, the process is just as simple. Refinancing an existing loan can offer significant savings to homeowners thanks to today's rock bottom interest rates. It doesn't matter if you want to switch the terms of your current mortgage, adjust the overall duration, or just get a lower interest rate, Earnest can help you figure out the best loan option available, and get you a deal that will meet your needs.

Common Questions About Solomons 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.