Buying a home is one of the most expensive milestones a person can achieve, so it’s also the most stressful experience despite the sheer thrill of finally moving into a space where your family can grow. While finding some tips and tricks online can help get your foot into the housing market, the fact that real estate is an ever-evolving industry means that standards constantly change.
Outdated information and misunderstandings pave the way for false homebuying hacks, but falling into these myths can hurt your wallet in more ways than one. We’re here to dispel these mortgage myths and ensure you start your journey on the right track:
Myth #1: You Need a 20 Per Cent Deposit
Many lenders ask for a 20 per cent deposit, but there are various loan options available that allow people to secure a mortgage without being restricted by a hefty deposit requirement. First-time homebuyers find it particularly challenging to grow their savings, but lenders offer different options that allow borrowers to pay as little as ten per cent or less upfront.
Myth #2: Only Married Couples can Apply for a Home Loan
Understandably, people assume homebuyers are couples who are looking for a permanent place to start a family, but even single ladies and gentlemen in town can borrow money to fund their dream place.
You may even have better chances at securing lower interest rates since being single means you don’t have extra mouths to feed, translating to more money for you and the lender.
Myth #3: You Can Trust Banks to Give You The Best Mortgage Rates Available
Obtaining low-interest rates with favourable monthly payment terms can be challenging for many people since there are plenty of eligibility requirements you need to meet — from a high credit score, stable income, low debt-to-income ratio, and more.
Don’t limit yourself to banks since there are plenty of independent lenders that can offer competitive rates and mortgage solutions for those with less-than-impressionable credit. Take your time to shop and compare rates, especially since many banks often put their interests first before you.
The Bottom Line: Steering Clear of HomeBuying Myths and Breaking Into the Housing Market with Ease
The journey to buying a home is a winding process, and finding the best mortgage rate that can fund your dreams of settling down is just another roadblock you need to overcome. While the list above should bust the common misconceptions that can make the home buying experience muddier than necessary, you can make your life simpler by working with an Australian mortgage company to guide you in the right direction.
Wealthy You is Fully-Committed to Help First-Time Homebuyers in Sydney
You don’t need to feel lost as you navigate the mortgage market since our versatile mortgage brokers at Wealthy You can offer various affordable loan solutions for every financial need. Contact us today at (02) 7900 3288 and check whether our fixed and variable rate offers suits you.
