There’s a lot of information out there about buying a home. 

And while it’s important to stay informed, not everything you hear is true!

When going through the home buying process, there are many steps and considerations to take into account, which can make the process feel overwhelming at times. 

To help you out, here are five of the most common myths about buying a house:

MYTH 1: You need a 20% down payment (and perfect credit).

One of the biggest myths in real estate is that you need a 20% down payment. While this used to be true, nowadays you have numerous options when it comes to mortgage loans! 

Many loans allow buyers to purchase a home with 3.5% down. Some special types of loans, including FHA, VA, and USDA, allow for 0% down if you meet the qualifying criteria. And your credit score doesn’t need to be perfect. It’s true that the higher your credit score, the more options you will have, but there are also options for those with lower scores. 

MYTH 2: You should always start with your lowest offer.

In today’s market, you want the seller to know you are serious about your offer. If you present a low offer to begin, they may simply say no instead of coming back with a counteroffer. Be prepared to come in with a higher offer right from the start. 

MYTH 3: Renting is cheaper than buying. 

Many people believe that renting is cheaper than buying a home. While there are a lot of factors that come into play here, including location and the current market, in many cases you will find that a monthly mortgage payment can come in at or below a rent payment. 

Do your research, and ask your mortgage lender to calculate your monthly payment costs so you can get a true understanding of what you will be paying each month. 

MYTH 4: Home inspections are NOT necessary. 

Even if a home looks incredible and is on the newer side, a home inspection is always a good idea. If you aren’t aware of potential problems, it can end up costing you more down the road. If the home inspection does reveal significant problems, you have the option to go back to negotiations with the seller. 

MYTH 5: Now is a bad time to buy.

With rising home prices across the country, people assume that it’s not a good time to buy. Again, it’s important to take many factors into consideration, including current mortgage rates, how long you plan to stay in the home, and the local housing market. 

Do you have questions about the home buying process?