Why myths like 20% down payment requirements don’t hold up to scrutiny.
In a large industry like real estate, myths and misconceptions are almost always expected. Although that’s the case, having the correct information is still better, especially when you’re planning to buy or sell your house. Let’s debunk the three most common myths in real estate:
Myth #1: The market is going to crash. I’ve heard people being concerned about this because of inflation and the recession. While these factors can influence the real estate market, our economic condition today is very different from the 2008 crash. Based on statistics, we have a much stronger market today.
“Consider that every city’s real estate market is different.”
Myth #2: I won’t find a home to buy. The market is shifting, and there’s more inventory becoming available with interest rates steadily dropping. Despite this, consider that every city’s real estate market is different, so check with your local real estate agent. Also, many sellers are competing with price reductions, but not many buyers are coming into the market right now.
Myth #3: I need 20% down to buy a house. With many real estate programs out there, you don’t need to pay a 20% down payment. There are first-time homebuyer programs and zero-down payment plans, like USDA and VA loans. We know some good programs where cities give funds, and when these funds dry up, they get reestablished. You only need to find a good agent and lender you can trust.
If you have more questions about real estate, feel free to call. Contact us at (612) 961-9448 or Mark@MarkCallenderHomes.com. I’m looking forward to talking with you.