Fright-free facts: busting common homebuying myths

Buying a home can feel scary, especially for first-time buyers. Add in a few myths that seem to linger like a ghost, and the process can feel downright spooky. Here are some of the most common homebuying myths and the truth behind them.

You must have 20% for a down payment.

One common myth is that you need 20% for your down payment to buy a home. While putting down more money upfront can lower monthly costs, many loan programs allow buyers to purchase with as little as 1% down. At United Housing, Inc., we have several options for first-time, first-generation homebuyers to assist with your down payment and mortgage.

Renting is always cheaper than buying.

Another haunting misconception is that renting is always cheaper than buying. While renting may seem more affordable in the short term, monthly mortgage payments often compare to rent prices in many markets. Over time, homeowners also build equity, which is something renters miss out on. If you’re worried about the cost of home maintenance, programs like 901Help are here to assist.

A low credit score will keep you from buying.

A common belief is that a low credit score will keep you from ever owning a home. While a high credit score can unlock better interest rates, lenders often work with buyers across a wide credit range. Exploring loan programs and speaking with a lender can reveal more options than expected.

It’s OK to skip a home inspection.

One of the spookiest myths in real estate is that a buyer can safely skip a home inspection to save money or speed up the closing process. But skipping this step can turn your dream home into a haunted house with hidden problems. From leaky roofs to electrical issues lurking behind the walls, unseen repairs can become the thing of financial nightmares.

The homebuying process has plenty of moving parts, but it doesn’t have to be scary! Working with trusted professionals, asking questions and separating fact from fiction can help buyers make confident, informed decisions. 

Ready to start looking? Check out United Housing’s available listings.