Buying a home is one of the biggest financial decisions you can make. That’s why it’s important to not let these common myths get in the way of what’s best for you and your future.
Myth #1: You Want The Largest Square Footage Possible
When searching for your new home, don’t get too hung up on the square footage. Depending on the layout, a smaller home can actually feel a lot more spacious. When going to open houses, you should ask yourself, how big does this space feel? Also keep in mind the potential for storage. A smaller bedroom can work perfectly well for your needs if there’s plenty of storage space in the closets.
Other factors such as open concept designs, lighter colors, and reduced clutter can greatly maximize the amount of space in your new home.
Myth #2: Your New Home Is Forever
While there’s a certain expectation out there that you have to stay in your new home forever, there’s still a possibility that you may move in a few years. When searching for homes, be honest with yourself about the likelihood of staying versus moving. If there’s a strong possibility that you’ll move in 5 to 10 years, then you may consider choosing a house that works well for you right now, instead of a home that has to be perfect for you well into the future.
Myth #3: Certain Types Of Mortgages Are Better Than Others
Everyone’s financial situation is different. The myth that one type of home loan is better than the other is simply not true. When making these financial decisions, it’s crucial to speak to a mortgage professional. An experienced and trustworthy mortgage lender can help you figure out the best course of action for you.
Myth #4: You Always Want The Lowest Possible Rate
If you focus too much on interest rates, then you might overlook other factors such as extra fees. While rates do play a role in your finances, they don’t paint a full picture of the long term value that comes with home ownership. When choosing the best mortgage professional for you, always get a second opinion and remember that overall value is more important than just low rates.
Myth #5: Buying A Home Is A Bad Investment
Buying a home is a major financial decision that should not be taken lightly. That’s why there are plenty of resources and professionals out there to help you with this decision. And yes, housing prices will go through highs and lows, but studies show that homes generally increase in value over the long term.
As you pay off your mortgage, you build equity in your home, which is essentially like a savings account for the future. But when you pay rent, that money just goes into your landlord’s pocket. Over time, owning a home is generally a better investment than simply paying rent.
Myth #6: You Can Save Money By Foregoing A Realtor
A good real estate agent can be a total game changer when it comes to buying a home. A realtor can negotiate with the seller on your behalf, potentially saving you a lot of money on closing costs or repairs. When hiring a real estate agent, it’s important to work with someone who is knowledgeable and trustworthy. Having a friendly and professional relationship with your realtor can make the process of buying your home a thousand times easier.
The Bottom Line
There’s a lot of information out there when it comes to buying a home. While it’s important to do your research and listen to suggestions, everyone’s situation is unique. Make sure to honestly think about what makes the most sense for you and your future.