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Debunking Seven Myths Associated With Real Estate

Buying a house can be a lengthy and complicated process. For buyers and sellers, finding a suitable match becomes more difficult when you’re surrounded by speculations and myths. And let us tell you, real estate is full of myths that will leave you either confused or stressed.

Make sure to keep these seven myths in mind when you’re selling or buying a house in Texas next time!

You Don’t Need a Realtor to Buy a Home

Buyers believe that house hunting is easy piece of cake kind of situation that they can handle on their own. In order to cut down on the real estate agent’s commission, many first-time homebuyers venture out to find a property on their own. The end result? Disappointment!

You Save Money with FSBO

FSBO, a home for sale by the owners, is preferred by some sellers who are keen on saving money on the listing agent’s fees. The truth is that homes sold with the help of real estate agents get valued higher than those with FSBO.

Pre-Approval is Needed After House Hunting

Another common myth amongst potential buyers is that pre-approval for home loans is needed after you have found the perfect property. Not only will this result in a possible disappointment – if the request for a loan is declined. But also, in a competitive real estate market having a pre-approval letter increases your chances of ‘winning’ a house.

You Need Loads of Cash for Down Payment – the Only Upfront Cost?

20 percent down payment is required by most home buying assistance programs. However, that’s not the end of it. Homeowners may also consider FHA loans that allow a 3.5 percent down payment.

But, be mindful that a down payment isn’t the only cost you need to save up for. Inspections, escrow money, agent’s commission, and some other changes are also a part of the closing deal.

Family talking to an agent

Schools Don’t Matter to Those Without Children

If you don’t have children, you don’t need to pay the premium price for homes in better school districts. Right? Wrong! Even if you don’t have children, a home in a good school district will be valued higher in the future if you decide to sell it.

You Need a Credit Score of Over 600

To buy a home in Texas you need a credit score between 620 to 680. However, with FHA loans, a credit score of 580 will also get you a home loan.

All Real Estate Agents are the Same

All men may be created equal but not all real estate agents are. Real estate agents for buyers are different than those for sellers. Experienced and inexperienced realtors are different. Similarly, those who deal with property investment are different than those who help first-time homebuyers. Point is, that you need to carefully vet a specialist for your scenario.

Looking for Home Buying Services?

Are you a first-time homebuyer looking for a one-stop solution for your property hunt and home loans? Contact us at Z Finance Solutions. We are a home buying advisor in Austin, Texas, and offer advice, loan program solutions, and property hunt assistance to homebuyers.

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