There are myths and legends that surround almost every instance of our lives and home buying in particular is full of these myths. What’s important is sifting the myths from the truths and only concentrating on the truths. Listening and following myths can actually harm your home buying efforts, including costing you extra – and that’s not a myth. Here are some myths that need exploding.

  • You need a high credit score and big deposit to gain a mortgage. While it is getting harder to obtain mortgages, it’s by no means impossible. People with only moderate credit scores and 5% deposit are finding lenders. Look hard and you’ll find a lender willing to take you on. Bankrupt persons are also finding that after two years, lenders are willing to talk to them again.
  • The longer a house has been on the market, the lower the price. Definitely not true. Sellers will sell at a price they can live with.  Submit an offer that’s very low and you can expect a rejection fairly quickly.  The value a seller accepts will depend on what is motivating them to sell, and how much they still owe on their mortgage.
  • Foreclosed homes are cheaper. On paper, foreclosed homes do appear to be a little cheaper, however, in many instances, you are buying the home ‘as is’. This means there are no contingencies when it come to damage and repairs that are normally applied to home sales contracts.  If you have to do those repairs yourself, the cost could well gobble up all the money you saved by buying a foreclosed property.
  • Just wait, the price will drop. It could – prices drop all the time. However, smart buyers can be quick as well, which means that while you’re waiting for a price drop, someone else could be at the counter negotiating a sale. If you find a home you really like, start the contract discussions early. Prices are not dropping ‘all of the time’. In fact, some homes are appreciating in value – remember the old saying, he who hesitates is lost.

Find a home, make a realistic offer, and you’re halfway along the home buying prices.  Rather than listening to myths, engage the services of a buyers real estate agent. They’ll burst those myths while steering your through to a successful home purchase.

Related posts:

  1. What A Real Estate Agent Can’t Tell Home Buyers
  2. Why First Time Home Buyers Really Need Their Own Real Estate Agent
  3. Five Reasons For Working With An Independent Buyers Real Estate Agent
  4. What Does A Buyers Real Estate Actually Do?
  5. Real Estate Agents For Buyers – Who Has The Power?