[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"$f281m7kcrp7w7c":3,"$ffeh0925h8cuz":33,"$fbwk2pqjjqsc7":37},{"item":4,"previous":23,"next":28},{"id":5,"slug":6,"title":7,"description":8,"excerpt":9,"contentType":10,"featuredImage":11,"bannerImage":9,"body":12,"agentsBottomLine":13,"bodyImage":14,"isInfographic":15,"categories":16,"isVideo":15,"videoThumbnail":9,"videoSource":9,"publishedAt":21,"updatedAt":22},166,"debunking-4-myths-about-buying-a-home","Debunking 4 Myths about Buying a Home","\r\n\r\nA recent study by the Joint Center for Housing Studies at Harvard University revealed when renters were asked why they do no plan to own in the future, financial constraints were a more common response than the perceived lifestyle benefits they m...","","blog","https:\u002F\u002F\u002F","\u003Cimg class=\"alignnone size-full wp-image-29603\" src=\"https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002Fwp-content\u002Fuploads\u002F2014\u002F11\u002FLabyrinth-of-truth.jpg\" alt=\"Debunking 4 Myths About Buying a Home | Simplifying the Market\" width=\"600\" height=\"315\" \u002F>\r\n\r\nA \u003Ca href=\"http:\u002F\u002Fwww.jchs.harvard.edu\u002Fresearch\u002Fpublications\u002Fbelieving-homeownership-behavioral-drivers-housing-tenure-decisions\">recent study\u003C\u002Fa> by the Joint Center for Housing Studies at Harvard University revealed when renters were asked why they do no plan to own in the future, financial constraints were a more common response than the perceived lifestyle benefits they may receive from renting. Today, we want to go over those financial challenges and see if we can put some fears to rest and also clear up some misconceptions. Here are the top four financial hurdles that cause renters not to buy:\r\n\u003Ch3>\u003Cstrong>You Cannot Afford a Home\u003C\u002Fstrong>\u003C\u002Fh3>\r\nWell over 50% of renters consider this as a financial barrier to homeownership. However, study after study has shown us that there are major misunderstandings about what is required to purchase a home.\r\n\r\nThe biggest misconception is the amount of a down payment required. A \u003Ca href=\"http:\u002F\u002Fwww.keepingcurrentmatters.com\u002F2014\u002F09\u002F23\u002Fthe-truth-about-buying-a-home-you-dont-need-20-down\u002F\">recent survey\u003C\u002Fa> revealed that 44% of respondents believed that a 20% down payment was required. In actuality, mortgages are available with as little as 5% down (and even 3% in certain situations).\r\n\r\nThe same survey showed that 30% of respondents believe that only individuals with ‘high incomes’ can obtain a mortgage. In actuality, there are several programs intentionally created to help moderate income families buy a home of their own (look at the FHA program for example).\r\n\u003Ch3>\u003Cstrong>You Do Not Have Good Enough Credit to Get a Mortgage\u003C\u002Fstrong>\u003C\u002Fh3>\r\nThe survey mentioned above showed that 64% of respondents believe they must have a “very good” credit score to buy a home. Most people don’t realize that the average credit score for closed loans has actually \u003Ca href=\"https:\u002F\u002Fwww.elliemae.com\u002Fresources\u002Forigination-insight-reports\">dropped 24 points\u003C\u002Fa> in the last two years. For more information on credit scores click \u003Ca href=\"http:\u002F\u002Fwww.keepingcurrentmatters.com\u002F2014\u002F09\u002F24\u002Fwhat-you-dont-know-about-your-credit-score-could-cost-you\u002F\">here\u003C\u002Fa>.\r\n\u003Ch3>\u003Cstrong>It’s Not a Good Time to Buy a Home\u003C\u002Fstrong>\u003C\u002Fh3>\r\nDetermining when is the right time to buy a home from a pure financial calculation can be difficult. There are two elements of the cost of a home: the price of the house and the mortgage interest rate. When considering a purchase, you want to have at least an indication where prices and mortgage rates are headed. According to \u003Ca href=\"http:\u002F\u002Fwww.keepingcurrentmatters.com\u002F2014\u002F08\u002F06\u002Fhome-priceswhere-are-they-headed\u002F\">over 100 experts\u003C\u002Fa>, house values are expected to increase by almost 20% between now and 2018. And \u003Cem>Freddie Mac\u003C\u002Fem> recently projected that mortgage rates would be as much as one \u003Ca href=\"http:\u002F\u002Fwww.freddiemac.com\u002Ffinance\u002Fehforecast.html\">full point higher\u003C\u002Fa> by this time next year.\r\n\r\nWith both prices and interest rates projected to increase, now is the perfect time to buy a home.\r\n\u003Ch3>\u003Cstrong>It’s Cheaper to Rent than Buy\u003C\u002Fstrong>\u003C\u002Fh3>\r\nThis is a myth that doesn’t want to die. However, \u003Cem>Trulia\u003C\u002Fem> \u003Ca href=\"http:\u002F\u002Fwww.trulia.com\u002Ftrends\u002F2014\u002F10\u002Frent-vs-buy-q3-2014\u002F\">recently reported\u003C\u002Fa> that, in fact, buying is actually dramatically cheaper than renting. Here is what they said:\r\n\u003Cblockquote>\u003Cem>“Homeownership remains cheaper than renting nationally and in all of the 100 largest metro areas. In fact, buying is 38% cheaper than renting now, compared with 35% cheaper than renting one year ago.”\u003C\u002Fem>\u003C\u002Fblockquote>\r\n\u003Ch3>\u003Cstrong>Bottom Line\u003C\u002Fstrong>\u003C\u002Fh3>\r\nIf you are even thinking about buying, get the facts from a trained professional. You may be pleasantly surprised by what you find out.","\r\nIf you are even thinking about buying, get the facts from a trained professional. You may be pleasantly surprised by what you find out.","https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002Fwp-content\u002Fuploads\u002F2014\u002F11\u002FLabyrinth-of-truth.jpg",false,[17],{"id":18,"name":19,"slug":20},5,"For Buyers","buyers","2014-11-05T10:00:20Z","2014-11-05T19:23:03Z",{"id":24,"slug":25,"title":26,"featuredImage":11,"publishedAt":27,"contentType":10,"isVideo":15},165,"either-way-youre-still-paying-a-mortgage-3","Either Way, You’re Still Paying a Mortgage","2014-11-04T10:00:14Z",{"id":29,"slug":30,"title":31,"featuredImage":11,"publishedAt":32,"contentType":10,"isVideo":15},167,"buying-a-home-remains-38-less-expensive-than-renting","Buying a Home Remains 38% Less Expensive than Renting!","2014-11-06T10:00:31Z",{"cover":34,"open":35,"shareSpread":36},"https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002FKeepingCurrentMatters\u002Fcontent\u002Fimages\u002F20260603\u002F2026-Summer-Buyers-Guide-Cover-original.png","https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002FKeepingCurrentMatters\u002Fcontent\u002Fimages\u002F20260603\u002F2026-Summer-Buyers-Guide-Spread-original.png","https:\u002F\u002Ffiles.keepingcurrentmatters.com\u002FKeepingCurrentMatters\u002Fcontent\u002Fimages\u002F20260603\u002F2026-Summer-Buyers-Guide-Magazine-original.png",[38,42,43,47,51,55,59,63,67,71,75,79,83,87,91,95,99,103,107,111,115,119,123,127,131,135,139,143,147,151],{"id":39,"name":40,"slug":41},1,"Uncategorized","uncategorized",{"id":18,"name":19,"slug":20},{"id":44,"name":45,"slug":46},6,"For Sellers","sellers",{"id":48,"name":49,"slug":50},7,"Foreclosures","foreclosures",{"id":52,"name":53,"slug":54},8,"Infographics","infographics",{"id":56,"name":57,"slug":58},9,"Home Prices","home-prices",{"id":60,"name":61,"slug":62},11,"First-Time Buyers","first-time-buyers",{"id":64,"name":65,"slug":66},34,"Senior Market","senior-market",{"id":68,"name":69,"slug":70},35,"Mortgage Rates","mortgage-rates",{"id":72,"name":73,"slug":74},38,"Move-Up","move-up",{"id":76,"name":77,"slug":78},41,"For Sale by Owner","for-sale-by-owner",{"id":80,"name":81,"slug":82},42,"Featured","featured",{"id":84,"name":85,"slug":86},45,"New Construction","new-construction",{"id":88,"name":89,"slug":90},52,"Luxury \u002F Vacation","luxury--vacation",{"id":92,"name":93,"slug":94},53,"Rent vs. Buy","rent-vs-buy",{"id":96,"name":97,"slug":98},80,"Time-sensitive","time-sensitive",{"id":100,"name":101,"slug":102},81,"Outdated","outdated",{"id":104,"name":105,"slug":106},147,"Internal","internal",{"id":108,"name":109,"slug":110},148,"Do Not Autopost","do-not-autopost",{"id":112,"name":113,"slug":114},320,"Inventory","inventory",{"id":116,"name":117,"slug":118},321,"Agent Value","agent-value",{"id":120,"name":121,"slug":122},322,"Affordability","affordability",{"id":124,"name":125,"slug":126},323,"Buying Tips","buying-tips",{"id":128,"name":129,"slug":130},324,"Downsize","downsize",{"id":132,"name":133,"slug":134},325,"Economy","economy",{"id":136,"name":137,"slug":138},326,"Equity","equity",{"id":140,"name":141,"slug":142},327,"Forecasts","forecasts",{"id":144,"name":145,"slug":146},328,"Selling Tips","selling-tips",{"id":148,"name":149,"slug":150},339,"Expired\u002FWithdrawn\u002FCanceled","expiredwithdrawncanceled",{"id":152,"name":153,"slug":154},340,"Price It Right\u002FOverpricing","price-it-rightoverpricing"]