There are many misconceptions about what your finances should look like as you prepare for homeownership. But no matter the state of your bank account or financial situation, we are prepared to talk with you about how to get a mortgage and help make your goal of homeownership come true. These myths may have discouraged you from buying in the past, but the truth is, homeownership may be possible.
MYTH: My credit score needs to be perfect to buy a home.
FACT: There are home financing options for less than perfect credit scores. Some financing programs allow for lower credit scores or limited credit history. Many times, any credit issues can be fixed fairly easily. As lenders, we consider your full financial picture, not just your credit score.
MYTH: I need to make a lot of money to qualify for a mortgage.
FACT: We offer financing programs for a wide range of incomes. Other factors are also considered when you apply for a mortgage, including your credit score, your credit profile and your bank accounts.
MYTH: I need a 20% down payment to purchase a home.
FACT: There are options. Some loan programs offer lower down payment requirements, including 3% down and 0% down for qualified buyers. Keep in mind that not all borrowers will qualify for some of these programs. It’s important to discuss what option is best for you with a qualified mortgage loan officer.
MYTH: Renting is cheaper than owning a home.
FACT: It’s true that buying a home may sometimes have higher up-front costs than renting. However, the best long-term option will always be to own your own home. Many times, rental payments are higher than what the mortgage payment would be for a comparable home. Also, with preventative maintenance and upkeep, the value of your home will typically increase over time.
Remember, everyone’s employment and financial situation is different and your mortgage officer can guide you through the steps necessary to make your home purchase as painless as possible. Meeting with your mortgage loan officer early in the process can help you avoid any potential “surprises” later on when you do find your dream home.
