Top 5 Home Buying Myths

Are these keeping you from owning your dream home?

1. I can’t afford the down payment.

Many potential home buyers are driven away from making a purchase due to believing erroneous information about home loan qualification. Yes, a standard mortgage may require a 20 percent down payment, which may be out of your financial ball park. However there are many loan options with lower, or even no, money down. Your best bet is to perform your own due diligence to determine the best loan for you. Contact us about loan rates and options.

2. I don’t think I can qualify for a home loan.

First of all, have you contacted a lender to see whether or not you might qualify for a loan? Even if you think you don’t have the credit score, there are loan programs (Especially through the FHA) that take into consideration lower than “golden” credit scores. One program in particular will reward low score buyers who make strides to improve their credit over time.

Your lender can also advise you on what you can do to improve your credit score and your chances at qualifying for the home you want. The best thing to do is to take that first step to find out where you’re at qualification-wise.

3. My mortgage payment will be higher than my current monthly rent.

First of all, are you sure? If you haven’t done any investigation on your own to find out more about loan rates and qualifications, then how do you know for sure that you’ll pay a higher monthly mortgage payment than your current rent?

Even so, with a fixed-rate mortgage, your payment will NEVER go up! Can you say that about your rent? It doesn’t matter how long your landlord has owned the home you’re currently living in, he will raise the rent to current market values, while HIS mortgage payment remains the same. Think about it.

4. There aren’t very many homes for sale in the Santa Clarita Valley.

Yes, last year we did have a shortage of inventory in the Santa Clarita Valley. Even still, we were able to accommodate many of our buyers through our networking efforts with hundreds of other agents in the Santa Clarita Valley. In many cases, we were able to learn of homes coming up for sale before they hit the market. Trusting a good, experienced real estate team to help you find the home of your dreams is a great place to start.

That being said, inventory has increased to a more “balanced” level here in the Santa Clarita Valley. Buyers are enjoying a better selection of homes. Click here to sign up for our property email alerts.

5. I don’t want to pay a real estate agent to find me a home.

Good news! You don’t have to! Buyer’s agents are paid by seller commission fees, and not by the buyer.

Contact Montemayor and Associates with your home buying questions. We appreciate the opportunity to earn your trust!