5 Home Buying Myths Debunked!

Posted by Kent Redding on Friday, November 11th, 2016 at 11:58am

 

By The Kent Redding Group

AUSTIN, TX. – If you’re planning on buying an Austin Texas home in the coming months you most likely will have encountered a variety of home buying myths from your friends, family members or co-workers but the reality is that many of those myths are not true.

Myth #1 – The First Thing to Do Is Search for a Home

Sadly, this myth is false because, if you’re serious about buying a home the first thing you should do is get pre-approved for a mortgage loan so you will know how much of a home you really qualify for because, it wouldn’t make sense to start shopping for a house if you don’t know what you can afford.

Myth #2 – 30-Year Fixed Mortgage Is Always the Best

Although it’s very common for home buyers to choose a 30-year fixed mortgage loan this may not be the best option for you, especially if you want to pay off your home before 30 years, you may want to choose a 15-year mortgage loan instead, or even an adjustable rate mortgage loan.

Myth #3 – You Need 20% for a Down Payment on a Home

Yes, a 20% down payment is always recommended when buying a home but, it’s possible to purchase homes without putting down 20% especially if you have an FHA, USDA, or VA loan.

Myth #4 – Down Payment Is Your Only Upfront Cost

This myth is also false because your only upfront cost when buying a home isn’t just the down payment, you’re also responsible for paying for closing costs which can equal 6% of the homes purchase price so it’s better to be prepared for paying closing costs since they are a major part of buying a home.

Myth #5 - Their Asking Price Is Set In Stone

Last of all, but most important, many buyers stop themselves from submitting an offer on a home because they think that the asking price is set in stone and this is sadly not the case since many owners are willing to negotiate, especially if you have been pre-approved for a mortgage, have excellent credit and a down payment that’s ready to do.

Buy an Austin Texas Home

To get started with buying an Austin Texas Home contact the Kent Redding Group today by calling us at (512) 306-1001 or click here to connect with us online.

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