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Homeowning in Washington Groves made easy

Mortgage rates are at record lows across America, and Washington Grove is no exception. With many affordable homes to choose from in the area, finding the right home in your price target range has never been easier.

See what you can afford in Washington Grove

Homes in a peaceful, fun town for everyone

Washington Grove has much to provide to its residents, from exquisite parks to fun, engaging town activities. Many homes resemble those found in the Washington Grove Historic District, and neighborhoods are walkable distances from Woodward Park and the West and East Woods. A small town with a population of less than 1,000, Washington Grove is the ideal location for couples, families, or retirees looking for a quiet place to live with many things to do.

The best home loan in Washington Grove

Low mortgage rates and quick, easy application

In order to secure the contract for your home, a loan is required, whether it's your first home or retirement residence. Many factors are involved in acquiring a mortgage rate, including credit score, down payment, ZIP code, and more. Special discounts can apply, such as veteran rates, so be sure to ask your realtor for more information. Once you're pre-approved, you're one step closer to your dream home in Washington Grove! Refinancing is a great option for those who want additional budget for large purchases, such as college tuition or renovations to your home. When refinancing, many of the same considerations as homebuying apply. Earnest helps to streamline this process by finding the right option that relies solely on your needs.

Common Questions About Washington Grove 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.