From putting 20% down to being debt-free, myths about homeownership are pervasive.

But not to worry; we’re here to debunk the false information you may have come to believe as true about homeownership. Keep reading for the top six myths we’ve heard — and why they’re not true.

• • • • You Need a 20% Down Payment

        Wrong. This is one of the most prevalent myths out there about homeownership. The median down payment for first-time homebuyers in 2022 may surprise you. So what was it? Only 7%, according to the National Association of REALTORS®. There are also plenty of loan programs that require far less.

      • You Need to Be Thriving in Your “Forever Career”

        Despite the common belief that millennials need a well-established career before buying a home, many are still entering the market. Having a stable job, a comfortable salary, and a desire to own a home can be enough to start building equity. Consider smaller properties or those closer to work as the gateway to homeownership.

      • You Need to be 100% Debt-Free

        Having some debt doesn’t necessarily disqualify you from getting a mortgage. Responsible credit use is more important to mortgage underwriters than being debt-free. Rent payments and mortgage payments are often comparable, making homeownership feasible for many despite existing debts.

      • You Need to Have a Family Structure

        While many people wait until parenthood is on the horizon to consider buying a home, a significant number of today’s new homeowners are unmarried. A recent study from Harvard University’s Joint Center for Housing Studies shows that the share of married homebuyers has declined compared to 20 years ago.

      • You Have to Get a Conventional 30-Year Loan

        There are many loan options to help you buy your first home. They can offer flexibility and make payments more feasible. Popular options for first-time buyers are FHA loans with low down payment requirements and lenient credit score criteria. Additionally, you can explore government VA loans for veterans, USDA loans for rural properties, and Fannie Mae’s HomeStyle Renovation loan for financing home improvements.

      • Your Credit Must be Sky-High

        Having a credit score below 800 or even 700 doesn’t mean you can’t get a home loan. Some loans have lower credit score requirements. For conventional loans, the minimum tends to be around 620. So don’t worry if your credit score isn’t in the highest range; you may still qualify for a mortgage.

Source: RealtyTimes.com