Did you know there are 3 common myths about the home buying process that can bring you a ton of added stress? While buying a home is exciting, it can also be nerve-wracking. While it’s normal to be confused and nervous about the mortgage process, I’m going to clear up some common misconceptions to put your mind at ease.
With over 20 years of helping thousands of buyers obtain financing for their homes, I know you likely have plenty of questions. You might be wondering:
- How much do I need to put down on a home?
- What’s a good monthly payment to fit my budget?
- What is a good interest rate?
- Should I buy now, or wait?
All of these questions are valid concerns. After all, you’re spending hundreds of thousands of dollars on your new home. Instead of wasting your time Googling all the answers, I’m going to help clear up the confusion with these 3 common home buying myths.
Myth #1: You have to be ready to buy a home today
Since buying a home is a huge investment, you want to take your time and make sure you’re purchasing the right one. While your emotions are going to be involved, you don’t have to jump on the first house you see or have it all figured out right away. You want your new home to be the right investment for you.
What if your credit needs improvement?
Did you know that a 1% drop in your interest rate can save you hundreds of dollars per month, depending on your loan size? Additionally, the type of loan and mortgage insurance you choose can also have a huge impact. Because the good deals always go fast, you’ll want to work with a great Realtor who can jump into action for you when the right house hits the market.
Being prepared will keep you a step ahead of the game. You can also take advantage of our TBD Approval Process, which puts your offer ahead of every other offer you submit on the homes you’re looking at.
Myth #2: You have to put down 20%
Putting down more money on a house can actually cost you thousands of dollars a month. This is because home values are appreciating. If it takes you 5, 6, or 7 years to save up enough money for a down payment of that size, rates and home prices will have likely increased. During that time, you’ll be paying someone else rent to live in their space when you could have been in your home, paying on a mortgage. You’ll also miss out on the advantage of building equity for yourself instead of for someone else.
When you work with a mortgage adviser, we can break down two costs: the cost of your mortgage, as well as the cost of waiting. This will enable you to see which option is best for you, setting you up for the most successful outcome possible.
Myth #3: I can’t afford to buy a house
How much home you can afford depends on a variety of factors. You can easily get approved online for $500,000—but that doesn’t mean you should spend that much. However, if you work with our team of mortgage advisers, we can help you determine what home price works best for you when it comes to your monthly payment. We’ll also ensure that you find a housing option that fits with your financial and future goals.
Of course, it’s easy to fill out a form online and get an answer right away. We love technology, and we know online applications, borrower experience apps, digital communication, and uploads help make the home buying process smoother. Having the right mortgage adviser will make sure your information is correct and the approval amount won’t include any surprises.
We’re Here To Help
Through our Client For Life experience, you’re going to learn how to make the most informed decision for your specific situation. By clicking the button next to the above video, you can set up a time to speak to me or one of the other advisers on my team. Once you do, we’ll help you to:
- Get an idea of where you are in your ideal moving timeframe
- Figure out the kind of down payment you’re looking to make
- Create a step-by-step process for you to reach your goals that’s 100% free
- Get your credit score to where it needs to be to secure the best rate
- Understand the process in simple terms
We know that an educated buyer makes the best decisions. Additionally, to earn your business, we offer a $5,000 guarantee to the seller when you submit your offer. This TBD Approval Process ensures your offer gets ahead of everyone else and has a greater chance of getting accepted. We’ll go into more detail on how this works in a future episode, but know that it’s our way of backing up our claims as expert mortgage advisers. Many will claim to have your back, but few will put their money where their mouth is like we do.
So if you’re looking to start shopping for a new home, make sure to contact us and we’ll be happy to help. Be sure to subscribe to our videos as well to begin your education on the home buying process. If you have any questions, please don’t hesitate to reach out!