With mortgage rates still at historically low rates and home values rising, many Metro DC residents are currently contemplating a move— even in the midst of the current, and somewhat uncertain, economic climate.
However, if you’ve been wondering, now is indeed the time to purchase a home with more storage space, more bedrooms, more overall square footage or even a home in a better neighborhood.
As your real estate agents in Washington DC, Maryland, and Virginia, The Estridge Group is happy to help you find your bigger, better dream home, but there are just a few factors to consider in your decision to move up.
The right mortgage
When moving up in the DC Metro, the type of mortgage you obtain is crucial. An adjustable-rate mortgage may be for you if you’re not planning on being in the home for an extended amount of time. Adjustable-rate mortgages can save you money as the rate is typically lower than a 30-year fixed-rate and guaranteed for your particular loan term.
On the contrary, fixed-rate loans have a higher interest rate but provide the homebuyer security by locking in that rate over the entire life of your loan.
Mortgage qualifications
When you move to a larger home in Washington DC, Bethesda, or the surrounding communities, you may obtain what’s called a “jumbo mortgage.” Jumbo mortgages are loans that are above “average” with an amount more than $417,000 for a single-family home. If this fits the bill for your new home in the DC area, be prepared! Jumbo mortgages do require stronger credentials and the process can be more intense than others, however it does all depend on your lender.
If you’re in the market to purchase a home and are looking for a lender recommendation, do not hesitate to reach out! Our team has decades of expertise in the area and can connect you to a professional that will assist you in your mortgage process.
Refinancing options
There are mortgage options—commonly called piggyback options— that allow for a second mortgage or home equity loan to be taken out by a homeowner at the same time their first is refinanced or even started. When you’re moving to a larger home, you may be mulling over combining your first and second mortgages to reduce costs. It is always wise to explore all of these options in your decision to move up.
The real estate market may be ever-changing, but now is the time to make a move! Contact our experts at The Estridge Group today to get started on your house-hunt for your Metro DC dream home!
