In the world of mortgages, misinformation can lead to confusion and missed opportunities. Let’s debunk some common mortgage myths and uncover the truths that can empower you on your home-buying journey!
Myth: You Need a 20% Down Payment
Truth: While a 20% down payment is often recommended, it’s not a requirement. Gershman Mortgage offers mortgage options with lower down payment requirements, making homeownership more accessible!
Myth: Your Credit Must Be Perfect
Truth: While a higher credit score can secure better interest rates, mortgage options are available for individuals with less-than-perfect credit. Lenders consider various factors beyond credit scores.
Myth: Fixed Mortgages are Always the Best
Truth: The best mortgage type depends on your unique situation. While fixed-rate mortgages offer stability, adjustable-rate mortgages may be suitable for those planning to move in a few years.
Myth: You Can’t Get a Mortgage with Student Debt
Truth: Having student loan debt doesn’t automatically disqualify you. At Gershman Mortgage, we consider various factors, including your debt-to-income ratio, when assessing your mortgage eligibility.
Myth: You Must Stick to a 30-Year Term
Truth: Various mortgage terms are available, such as 15-year and 20-year options. Choosing the correct term depends on your financial goals and circumstances.
Myth: Pre-Qualification and Pre-Approval are the Same
Truth: Pre-qualification provides a rough estimate, while pre-approval involves a more in-depth analysis. You can use pre-approval to strengthen your position when making an offer on a home.
Myth: You Can’t Pay Off Your Mortgage Early
Truth: Most mortgages allow for early repayment. Paying extra towards your principal each month can accelerate the payoff process.
By dispelling these mortgage myths, Gershman Mortgage aims to empower you with the knowledge to make informed decisions about purchasing a home. Remember, understanding the facts is crucial on your path to homeownership. Stay informed, ask questions, and make choices that align with your financial goals. Happy home buying!
If you are interested in purchasing a home, it may be a good idea to sit down with a knowledgeable loan officer before buying. When you are ready, contact Andy Schoemehl at 314-221-7797 to start your journey home today.
Andy Schoemehl | Vice President
314.221.7797 phone | 636.898.1017 fax
[email protected]
aschoemehl.gershman.com
NMLS #258507
16253 Swingley Ridge Rd, Suite 200
Chesterfield, MO 63017
