3 Common Down Payment Myths

There are so many different thoughts and myths about down payments on a home, that it can become difficult to know what is actually true and what is a lie. Luckily, we have 3 common myths and the debunked explanation to the truth!

Myth #1: You need to put 20% down

This was not a myth in the past, but luckily as time went on, there were options that made this a myth nowadays. Programs allow you to actually save thousands of dollars by not needing anything for your down payment. When you spend $0 on your down payment you save thousands which you can use for other personal expenses. From other home expenses like affordable home insurance, to other expenses you may have.

Myth #2: Your down payment is the only money you need to bring to the closing table

The benefit of getting a home for a $0 down payment means that you can take those thousands of dollars you saved and put them towards other closing costs. Closing costs are the fees that you may have when you are closing on your home. These fees can range from inspection fees, origination fees, appraisal fees, and more. This is why it is beneficial to save the money on your down payment so that you don’t have to experience more financial stress during this time.

Myth #3: Down payment assistance is only for first-time home buyers

While it is common that many down payment assistance programs lean towards first-time home buyers, it may not be a requirement. When you look for down payment assistance programs that allow you to spend $0 on your down payment, you just need to verify that you are eligible!