5 Myths about transitioning from renter to home owner

  1. Buying a home means heavy debt 
    1. Owning a home offers many advantages. One being, as you pay your mortgage, you gain equity in the home and create an asset that can be used when needed, such as paying off debt or even buying a second home.
  2. At least a 20% down payment is needed to buy a home 
    1. Contrary to popular belief 20% down payment is NOT required to purchase a home. There are several low down payment options available to all types of buyers. 
  3. Your credit score needs to be perfect 
    1. Credit score and history play a significant role in a buyer’s ability to obtain a home loan, but it doesn’t mean a buyer needs squeaky-clean credit. There are many loan solutions for buyers who have a lower than the ideal credit score
  4. Now is a bad time to buy 
    1. Buying a home at the right time—during a buyer’s market or when interest rates are low—is considered a smart money move. But don’t let the fear of buying at the “wrong time” stop you from moving forward. If you feel like you’ve found a good deal, experts say there is truly no bad time to buy a home.
  5. You’ll be stuck and can’t relocate 
    1. In a healthy market, McManus says homeowners will likely be able to sell the home within a year or two if they need to move, or they can consider renting out the property.

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