
Buying a home is probably a lot more manageable than you think. Somewhere along the line, these crazy misconceptions have crept into the home buying conversation and made the dream of home ownership seem less attainable.
It’s time to set the record straight. Here are five common homebuyer misconceptions and the truth about each:
1. You need to save 20 percent for the down payment before you can buy a home.
There are several ways to buy a home without a 20 percent down payment!
FHA loans are the most popular option. They allow you to buy a home with as little as 3.5 percent down. There are also zero percent down options for special cases, like military personnel (active or veteran) or rural properties. Simply contact a lender to discuss your options. You may be closer to home ownership than you think!
Quick side note: you should also understand that your down payment won’t be your only home buying expense. You’ll need money to pay for closing costs (typically 2-5 percent of the purchase price). And you should have a little money set aside to make any urgent renovations or necessary upgrades.
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