Estimate Your Monthly Investment
Real estate is more than a purchase; it's a financial instrument. Use this tool to calculate your projected monthly outlay, including taxes, insurance, and HOA fees for Northern Virginia properties.
Mortgage Strategy for the Modern Buyer
A calculator gives you a number. A strategy gives you an advantage. Here are three ways we help clients optimize their financing in Northern Virginia.
Buying Down the Rate
Instead of negotiating a lower price, it is often mathematically superior to ask the seller for a credit to "buy down" your interest rate. This can lower your monthly payment by hundreds of dollars, effectively saving you more cash flow than a price reduction would.
Jumbo vs. High-Balance
In Loudoun and Fairfax, loan limits are higher than the national average. You can borrow over $1M in some cases without entering "Jumbo" territory. This keeps your rate competitive and your down payment requirements lower (often just 5-10% down).
Recasting Instead of Refinancing
Buying before you sell your current home? You can make a small down payment now, and then apply the proceeds from your sale to your new loan later. This is called a "Recast"—it lowers your monthly payment without changing your interest rate or requiring a refinance.
Turn Estimates Into Offers.
A calculator is a good start, but a fully underwritten pre-approval is what wins homes in Northern Virginia. Work with the team that understands both the loan and the contract.
Arslan Jamil (NMLS# 2681786) and Ken Byrne (NMLS# 187129) are with ALCOVA Mortgage LLC (NMLS# 40508).
www.nmlsconsumeraccess.org | Equal Housing Lender.
Northern Virginia Financing Guide
Everything you need to know about buying in Loudoun & Fairfax
What are Closing Costs in Northern VA?
In addition to your down payment, buyers in Virginia should budget approximately 2% to 3% of the purchase price for closing costs. This covers:
- Recordation Taxes: Fees paid to the county/state.
- Lender Fees: Appraisal & underwriting charges.
- Title Insurance: Protects your ownership rights.
- Prepaids: Funding your tax & insurance escrow.
High-Balance vs. Jumbo Loans
Because home prices in Ashburn, McLean, and Great Falls are higher than the national average, Northern Virginia is classified as a "High-Cost Area."
This means you can qualify for a standard Conventional Loan with a higher limit (often over $1M) before needing a "Jumbo Loan." Jumbo loans typically require higher credit scores (700+) and larger reserves.
Discuss Loan Limits →Property Tax Rates by County
Your monthly payment includes a "Tax Escrow." While rates change annually, here are the average effective tax rates to use in your calculation:
- Loudoun County: ~0.875 per $100 value.
- Fairfax County: ~1.11 per $100 value.
- Prince William: ~1.03 per $100 value.
*Note: Towns (e.g., Leesburg/Vienna) may have add-on taxes.
The "Appraisal Gap" Strategy
In competitive markets, homes often sell for more than the bank's appraised value.
A standard mortgage calculator doesn't account for this. We calculate your "Cash to Close" to ensure you have enough reserves to cover a potential "Appraisal Gap," ensuring your deal doesn't fall apart at the last minute.
Structure Your Offer →Credit Score & Rate Impact
Your credit score (FICO) directly impacts your interest rate and PMI costs.
Buyers with scores above 740 typically secure the lowest rates. However, FHA loans offer excellent terms for scores starting at 580. We can run a "Credit Simulator" to show how paying off small debts might boost your score—and save you thousands.
Run Credit Scenarios →Condo & HOA Lending Rules
Buying a condo in Reston or a townhome in Brambleton? The community must be approved, not just you.
We check if a condo is "Warrantable" (meeting Fannie Mae/FHA guidelines) before you apply. This prevents the heartbreak of getting denied because the HOA has too many renters or pending litigation.
Check Community Status →Need precise numbers?
Get a custom "Total Cost Analysis" from Arslan Jamil.