20% down…It’s what we’ve been coached our whole lives and it’s been burned into our brains since we were old enough to know what it means to buy a house. While those are both great ideas, the somewhat common thought that you need or have to have 20% of the sales price of a home for down payment is simply that – a myth…
Down Payment Myths Debunked – MortgageRight Huntsville
20% DOWN! SAVE SAVE SAVE! It’s what we’ve been coached our whole lives and it’s been burned into our brains since we were old enough to know what it means to buy a house. While those are both great ideas, the somewhat common thought that you need or have to have 20% of the sales price of a home for down payment is simply that – a myth. While most people today know that there are many loan programs available that do not require this, there are a lot of buyers out there that think this is automatically the best loan for them. That is NOT ALWAYS the case!
Loan programs that do not require 20% down are often referred to as “low down payment” options which were part of the early 2000s programs designed to make home ownership more achievable for the average working citizen! Since that time, with the economy in recovery and now good standing, we’re starting to see more and more responsible lenders offering programs to help the average American buyer. There are many options out there and you may be eligible for little or no down payment for your home purchase!
The most important thing to do when planning for a new home purchase and considering down payment options is to discuss them with a licensed mortgage loan originator who specializes in the area you are considering. Mortgage loans and credit reports are like fingerprints – everyone is unique and has their own. If you’re considering buying a new home, call a local mortgage expert today to find out the best loan and down payment option for you and your family.
Author: Josh Winn, Mortgage Right, Huntsville
Mortgage Loan Originator
NMLS 219148
(256) 214-2573 mobile
MORTGAGE RIGHT, Huntsville NMLS 2239
