Home Buying Myths and Realities

<h1>Home Buying Myths and Realities</h1>Author: <a title="Lisa Zapalac" href="http://www.articlesbase.com/authors/lisa-zapalac/155904.htm">Lisa Zapalac</a> According to a recent national survey by Wells Fargo, 78% of renters believe it is true that you can't get a home loan without perfect credit. A majority believes that a down payment of 15% or more is required. Find out why these and other myths are NOT TRUE - and why owning your new home in Houston is much easier than you think. Lenders evaluate mortgage applications a lot differently today than they did even 10 years ago. What used to close the door to home ownership may not be a factor today. Here are some common myths and realities about the home buying process, provided by Freddie Mac. Myth: You need great credit to become a homeowner. Fact: You may still be able to buy a home with less-than-perfect credit. And remember, you can improve your credit over time.   Myth: You need to put 20% down to buy a home. Fact: There are many types of mortgage products and programs that allow low and no down payments. But remember to factor in other costs such as closing costs, property taxes, moving expenses, and repairs.   Myth: You can't buy a home in the U.S. if you're not a citizen. Fact: New home buying tip: You can buy a home in the United States if you are a legal resident but not a citizen.   Myth: If you don't have a bank account or credit cards, you can't qualify for a mortgage. Fact: Having a bank account is always a good idea and helps you establish credit. However, lenders can approve you for a mortgage even if you don't have a bank account or credit cards. You'll likely need to keep records showing a history of payments you've made for items such as rent, utilities, and car payments.   Myth: Lenders share your personal financial information with other companies. Fact: By law, banks and other financial institutions are restricted in their uses and disclosures of information about you. In some situations, you may choose to restrict the disclosure of your information if you don't want it to be shared.   Myth: If you're late on your monthly mortgage payments, you'll lose your house. Fact: If you have a financial hardship, like the death of your spouse or a medical emergency and fall behind, it's possible to keep your home and get back on track if you contact your lender early.   Myth: You can't get a mortgage if you've changed jobs several times in the last few years. Fact: Not true. You can change jobs several times and still get a loan to buy a home. Lenders understand that people change jobs. The important thing is to show that you've had a stable income when you begin the home buying process.   Information provided by Freddie Mac.About the Author: Lisa C. Zapalac, Principal Partner and VP Public Relations for <a target="_blank" href="http://www.casanuevaguide.com">http://www.casanuevaguide.com</a> has been actively working in the real estate and business industry since 1996; prior to opening her own public relations company Zapalac was named editor in 1991 for the Houston Chronicle Homeline and Real Estate sections.Article Source: <a href="http://www.articlesbase.com/">ArticlesBase.com</a> - <a href="http://www.articlesbase.com/real-estate-articles/home-buying-myths-and-realities-922703.html" title="Home Buying Myths and Realities">Home Buying Myths and Realities</a>

According to a recent national survey by Wells Fargo, 78% of renters believe it is true that you can't get a home loan without perfect credit. A majority believes that a down payment of 15% or more is required. Find out why these and other myths are NOT TRUE - and why owning your new home in Houston is much easier than you think.

Lenders evaluate mortgage applications a lot differently today than they did even 10 years ago. What used to close the door to home ownership may not be a factor today. Here are some common myths and realities about the home buying process, provided by Freddie Mac.

Myth: You need great credit to become a homeowner.

Fact: You may still be able to buy a home with less-than-perfect credit. And remember, you can improve your credit over time.

Myth: You need to put 20% down to buy a home.

Fact: There are many types of mortgage products and programs that allow low and no down payments. But remember to factor in other costs such as closing costs, property taxes, moving expenses, and repairs.

Myth: You can't buy a home in the U.S. if you're not a citizen.

Fact: New home buying tip: You can buy a home in the United States if you are a legal resident but not a citizen.

Myth: If you don't have a bank account or credit cards, you can't qualify for a mortgage.

Fact: Having a bank account is always a good idea and helps you establish credit. However, lenders can approve you for a mortgage even if you don't have a bank account or credit cards. You'll likely need to keep records showing a history of payments you've made for items such as rent, utilities, and car payments.

Myth: Lenders share your personal financial information with other companies.

Fact: By law, banks and other financial institutions are restricted in their uses and disclosures of information about you. In some situations, you may choose to restrict the disclosure of your information if you don't want it to be shared.

Myth: If you're late on your monthly mortgage payments, you'll lose your house.

Fact: If you have a financial hardship, like the death of your spouse or a medical emergency and fall behind, it's possible to keep your home and get back on track if you contact your lender early.

Myth: You can't get a mortgage if you've changed jobs several times in the last few years.

Fact: Not true. You can change jobs several times and still get a loan to buy a home. Lenders understand that people change jobs. The important thing is to show that you've had a stable income when you begin the home buying process.

Information provided by Freddie Mac.

Lisa C. Zapalac, Principal Partner and VP Public Relations for http://www.casanuevaguide.com has been actively working in the real estate and business industry since 1996; prior to opening her own public relations company Zapalac was named editor in 1991 for the Houston Chronicle Homeline and Real Estate sections.

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Article Tags: pre-qualification, pre-approval, mortgage, down-payment, get approved, guia para comprar su casa, la preclasificación, la pre-aprobación, la hipoteca, la entrada

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