Buying a house is a time-consuming process. It requires you to think and act swiftly so that the best house is not sold to someone else. Timing is the key and you need to make sure that every document is in order so that you can present it at the right time to convince the seller you are an interested buyer.
During your home-buying process, you’re likely to come across several myths that might mislead you and prevent you from making the right decision. You need to be informed on all levels so that when faced with any challenge, you can discuss it with a licensed Orlando buyer’s agent. These myths are roadblocks that sour your home buying experience. While gathering information is important for this process, more important is not falling for these myths or you might end up backing out of a golden deal.
Let’s have a look at some of the home buying myths that many people fall for:
Depending on the Real Estate Market, There’s a Right Time to Buy
Don’t base your decision of buying a house on how the current market is fairing. You will come across several predictions regarding Orlando real estate, but this does not mean that you should only buy a house when the market is down. Your purchase decision should be fueled by your financial situation. The question you need to ask yourself is: Can you afford a house?
Renting is Cheaper Than Buying a House
This is the age-old dilemma that plagues every first time home buyer. Let’s settle it once and for all: rent rises over time, whereas with a fixed mortgage payment, you are looking at building equity and getting a house that you can decorate to your heart’s desire. It’s as simple as that!
No 20% Down Payment = No House
This is NOT true! You can get a house with as little as 3% down payment. If you are going for an FHA loan, you will only pay 3.5% down payment. In fact, USDA and VA loans have 0% down payments. The reason, why a leading Orlando buyer’s agent might recommend a 20% down payment, is because it will help you save on the financing costs.
You Can’t Buy a House If You Have a Low Credit Score
You might find difficulty in acquiring a loan from a bank on a low credit score, which is why you should shift to private lenders. They are more open to negotiation and, with a recommendation from your Orlando buyer’s agent, you might even qualify right away for a loan. The only contingency is that you will be charged a higher interest rate.
Before Buying a House, You Need to Pay Off Your Existing Debt
Let’s assume that you have a good credit score and you are sure your downtown Orlando realtor will get you approved for a loan. In this case, conserve the cash for other costs such as the down payment, agent’s fee, taxes, and other costs. Consult with your mortgage advisor to determine if this a good plan.
So, there you go… five common myths that usually scare buyers off on purchasing a house. This is why you should consult with your trusted Orlando realtor on the best course of action and then proceed. Get in touch with a qualified Orlando buyer’s agent by visiting Megan Dowdy Realty. The company’s mission is to provide its clients with the best house buying experience possible. To get in touch with them, call at 407-509-9279.