{"id":345,"date":"2018-11-06T01:46:01","date_gmt":"2018-11-06T01:46:01","guid":{"rendered":"http:\/\/renwre.info\/2018\/11\/06\/2-myths-holding-back-home-buyers\/"},"modified":"2018-11-06T01:46:01","modified_gmt":"2018-11-06T01:46:01","slug":"2-myths-holding-back-home-buyers","status":"publish","type":"post","link":"http:\/\/renwre.info\/?p=345","title":{"rendered":"2 Myths Holding Back Home Buyers"},"content":{"rendered":"
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Urban Institute<\/em>\u00a0recently released a\u00a0report<\/a>\u00a0entitled, \u201cBarriers to Accessing Homeownership:\u00a0<\/em>Down Payment, Credit, and Affordability,\u201d<\/em> which revealed that,<\/span><\/p>\n

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\u201cConsumers often think they need to put more money down to purchase a home than is actually required. In a 2017 survey, 68% of renters cited saving for a down payment as an obstacle to homeownership. Thirty-nine percent of renters believe that more than 20% is needed for a down payment and many renters are unaware of low\u2013down payment programs.\u201d<\/em><\/p>\n<\/blockquote>\n

Myth #1: \u201cI Need a 20% Down Payment\u201d<\/strong><\/h4>\n

Buyers often overestimate the down payment funds needed to qualify for a home loan. According to the same report:<\/p>\n

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\u201cMost potential homebuyers are largely unaware that there are low-down payment and no-down payment assistance programs available at the local, state, and federal levels to help eligible borrowers secure an affordable down payment.\u201d <\/em>\u00a0<\/em><\/p>\n<\/blockquote>\n

These numbers do not differ much between non-owners and homeowners. For example, \u201c30% of homeowners and 39% of renters believe that you need more than 20 percent for a down payment<\/em>.\u201d<\/p>\n

While many believe that they need at least 20% down to buy their dream homes, they do not realize that there are programs available which allow them to put down as little as 3%. Many renters may actually be able to enter the housing market sooner than they ever imagined with programs that have emerged allowing less cash out of pocket.<\/p>\n

Myth #2: \u201cI Need a 780 FICO\u00ae Score or Higher to Buy\u201d<\/strong><\/h4>\n

Similar to the down payment, many either don\u2019t know or are misinformed about what FICO\u00ae\u00a0score is necessary to qualify.<\/p>\n

Many Americans believe a \u2018good\u2019 credit score is 780 or higher.<\/p>\n

To help debunk this myth, let\u2019s take a look at\u00a0Ellie Mae\u2019s<\/em>\u00a0latest\u00a0Origination Insight Report<\/a><\/em>,<\/em>\u00a0which focuses on recently closed (approved) loans.<\/p>\n

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As you can see in the chart above,\u00a051.7%<\/strong>\u00a0of approved mortgages had a credit score of 600-749.<\/p>\n

Bottom Line<\/strong><\/h3>\n

Whether buying your first home or moving up to your dream home, knowing your options will make the mortgage process easier. Your dream home may already be within your reach.<\/p>\n<\/div>\n

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Urban Institute\u00a0recently released a\u00a0report\u00a0entitled, \u201cBarriers to Accessing Homeownership:\u00a0Down Payment, Credit, and Affordability,\u201d which revealed that, \u201cConsumers often think they need to put more money down to purchase a home than is actually required. In a 2017 survey, 68% of renters Continue reading 2 Myths Holding Back Home Buyers<\/span>→<\/span><\/a><\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"_links":{"self":[{"href":"http:\/\/renwre.info\/index.php?rest_route=\/wp\/v2\/posts\/345"}],"collection":[{"href":"http:\/\/renwre.info\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/renwre.info\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"http:\/\/renwre.info\/index.php?rest_route=\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"http:\/\/renwre.info\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=345"}],"version-history":[{"count":0,"href":"http:\/\/renwre.info\/index.php?rest_route=\/wp\/v2\/posts\/345\/revisions"}],"wp:attachment":[{"href":"http:\/\/renwre.info\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=345"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/renwre.info\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=345"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/renwre.info\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=345"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}