Four Myth Busting Facts for 2019’s First-Time Homebuyers

Four Myth Busting Facts for 2019’s First-Time Homebuyers

32% of Americans plan on purchasing a home within the next five years, according to a 2018 Home Buyer Report. Yet, affordability and limited inventory are making it a big leap for first-time homebuyers. At the same time, many first-timers are holding off on jumping based on misconceptions about mortgage requirements and down payments.

Unfortunately, many first-time homebuyers are making these decisions under false notions. In fact, according to Bank of America’s 2018 Homebuyer Insights Report, nearly 50% of renters believe they need 20% down in order to purchase a home. Asa result, buyers who lack the right knowledge are being driven to rely on internet-based lending where you can simply “click to qualify” rather than work with a traditional mortgage originator who can educate them on true mortgage requirements and the fist-time homebuyer programs available to them.

To help alleviate that, Bank of England Mortgage has developed Four Myth Busting facts for potential first-time homebuyers to help set the record straight.

  1. You don’t need 20% down to buy a home. There are programs that start as low as 3%. Some credit union programs even offer 100% financing to first-time homebuyers.

  2. Loan officers are still your best resource. Even with technology at your fingertips, an experienced loan officer is always your best bet when buying your first home.
  3. Qualifying for loans has never been easier. Mortgage lenders today are allowing lower down payments and more flexible guidelines for low to moderate income borrowers.
  4. Down Payment Assistance loans are here to help. DPA Grants decrease upfront homebuyer costs.

Bottom line, don’t hold off on buying a home this year. Contact us to find out if you qualify for zero or low down payments.