Recent conversations with our millennial peers has helped us understand a huge misconception towards the home-buying process:
20%.
I’m sure you’ve heard that the way to buy a home is to spend 20% of the sale price as your down payment. And this definitely was common practice, up until 2005. That number was such a standard that after 18 years it is still stuck in our minds. “The 20%” is now seen to be a massive barrier to folks when they’re considering home-ownership. The reality is, they could actually be MORE than qualified to buy a home! Because of this myth, many have prematurely given up hope. We have worked with countless individuals who range all over the financial spectrum who found not only that they were ABLE to buy a house, but that they could do so while still falling safely within their financial responsibilities.
Only a lender can tell you how much you need for your down payment. Believe it or not, the median is actually 14%, and for first time home-buyers it’s even less at 6%! FHA and USDA are two of the most common loan options that provide the lowest required down money. If the fear of “the 20%” has deterred you from seeking home-ownership, this is your sign to speak to a real estate professional. There is no one we aren’t willing to have a conversation with about the next, or even first, steps!
#januskygetsitdone #KellySellsPA #noproblemsjustsolutions
