2 Major Myths Holding Back Home Buyers

2 Major Myths Holding Back Home Buyers | Simplifying The Market

Urban Institute recently released a report entitled, “Barriers to Accessing Homeownership,” which revealed that eighty percent of consumers either are unaware of how much lenders require for a down payment or believe all lenders require a down payment above 5 percent.”

Myth #1: “I Need a 20% Down Payment”

Buyers often overestimate the down payment funds needed to qualify for a home loan. According to the same report:

Consumers are often unaware of the option to take out low-down-payment mortgages. Only 19% of consumers believe lenders would make loans with a down payment of 5% or less… While 15% believe lenders require a 20% down payment, and 30% believe lenders expect a 20% down payment.”

These numbers do not differ much between non-owners and homeowners; 39% of non-owners believe they need more than 20% for a down payment and 30% of homeowners believe they need more than 20% for a down payment.

While many believe that they need at least 20% down to buy their dream home, they do not realize that programs are available that allow them to put down as little as 3%. Many renters may actually be able to enter the housing market sooner than they ever imagined with programs that have emerged allowing less cash out of pocket.

Myth #2: “I Need a 780 FICO® Score or Higher to Buy”

Similar to the down payment, many either don’t know or are misinformed about what FICO® score is necessary to qualify.

Many Americans believe a ‘good’ credit score is 780 or higher.

To help debunk this myth, let’s take a look at Ellie Mae’s latest Origination Insight Report, which focuses on recently closed (approved) loans.

2 Major Myths Holding Back Home Buyers | Simplifying The Market

As you can see in the chart above, 53.5% of approved mortgages had a credit score of 600-749.

Bottom Line

Whether buying your first home or moving up to your dream home, knowing your options will make the mortgage process easier. Your dream home may already be within your reach.

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7678 E Starla Drive Scottsdale, AZ 85255

$1,274,000
4 Beds
3 Baths
2,941 SqFt
Status Active
MLS # 6779375
Property Type Single Family Residence
Price Type --
Forever Home or Investors Dream. Beautiful single-level home in the gated community of La Vista in North Scottsdale. Perfectly positioned for easy access to dining, shopping, and the 101 freeway, you're just 15 minutes from Scottsdale Quarter and Kierland Commons. Walk into profit with this Vacation Rental Super Host with $25K+ in bookings through April 2025!! 2024 YTD Gross Earnings totaling nearly $100K+ Spacious home features 4 bedrooms, 3 baths + flex space, arranged in a functional split floorplan. Boasting 12' Foot ceilings and dripping in natural light. Large bright, white kitchen with island. The backyard features a heated saltwater pool, small gated dog run & custom outdoor BBQ island with green egg, perfect for entertaining.

895 W Tyson Street Chandler, AZ 85225

$1,274,000
4 Beds
3 Baths
2,714 SqFt
Status Active
MLS # 6736767
Property Type Single Family Residence
Price Type --
Location, Location, Downtown Chandler - one-of-a-kind property. Stunning 4-bedroom home, plus a Casita, NO HOA restrictions. Minutes from 21 medical facilities. Large grassy lot, with Casita and separate building workshop The home boasts 19 feet of gorgeous Anderson windows across the front, flooding the interior with natural light, and a freshly painted exterior. Experience year-round comfort with York 21 SEER AC and a heated spa and poolperfect for unwinding or hosting unforgettable gatherings. Looking for something truly unique? You'll love the stone chimneys with 3 gas fireplaces, including one in the kitchenyes, a cozy kitchen fireplace in Arizona! The open-concept layout is designed for entertaining, with a living room, modern glass railings, and original built-ins that add a vintage touch to the modern upgrades. Every bedroom features a walk-in closet with custom shelving and shoe racks, ensuring ample storage. The extended air-conditioned garage is perfect for large trucks, the garage doors are to the side, so the front view is free of a garage door and there's a separate workshop for your projects. The Casita provides a fun space for guests or family staycations and even some additional income. (not incl in sq ft) or a home office. Outdoors, you'll discover a mini orchard with fruit trees, including pecan, orange, lemon, almond, pomegranate, and two green apple treesa true garden sanctuary. As the sun sets, the home takes on a magical ambiance, glowing with warmth and inviting energy. This property combines modern amenities like a full home water filtration system, tankless water heater, central air vacuum, and more, with mid-century charm, designed by Tibshraeny, to create a sophisticated yet comfortable living experience. Don't waitthis earthy, modernist home with timeless appeal is calling you. Come see for yourself why this Arizona oasis is the perfect home! -Extended length and Air Conditioned Garage -Extra large driveway with turn about - plus space for a boat or small RV - Garage cabinets - additional inside storage and shelving - New lighting, new garage door motor - Fridges 2 big ones and 2 little ones - 4 Mini splits - kitchen, garage, back bedroom, and Casita - Casita sq ft is not included in home size of 2714sqft - Home has central vac system - Large front patio to host - Original front door, solid from 1960 - Block home with South and east sides being insulation and radiant barrier then wood batten - 21 seer York AC and new air handler - Whole home water filtration - Tankless with hot water recirculation - New Gas meter - New 2phase pool pump with heater to spa as well - 4 electric boxes, main, workshop, casita, and one in garage - 2 Equator Washer/dryers - single unit for Casita and one for home - Casita conveys as shown - ready to rent - king bed, outside furniture, linens, micro, coffee pot, TV, as you see it - Casita has new tile flooring, shower door and water heater moved outside - with pad raised ready to build outward and upward - Home furniture would be included if its the right price, jukebox and art work do not convey - but outside patio furniture, inside beds, TV's, Dining room buffet - table chairs - all of it - Primary bedroom has Warmly floor heating - all new plumbing, white bathroom dresser all convey - 2 bathrooms are Toto and other is Swiss Madison - 4th bedrooom, wall bookcase is attached and stays - Family room steel glass desk can stay - or it can be removed - If removed you would have three fireplaces one in the kitchen, the TV family area and one in the front living room - Kitchen base cabinets are 1960's with honed Quartz on tops - the bases are one of a kind with strong pullouts and shelving - 19ft of Anderson windows in the front - Krasiva windows for the other 11 and 2 sliding doors, then 3 Jen Wen sliders to enclose the sun/gym room - Gym equipment can stay - All inside doors (11) have been replaced by Sarto doors and Frames imported from Italy and hardware from Germany - We would like one of the outside table and chairs, whichever, orange is our favourite - then there is the white and small black - Chop saw and spray painter unit they go - a gift from my hubby - But blowers, whippers, lawn mowers they all stay - Of the 6 shovels I will take one and one rake - hoses all stay - Taxes are very reasonable annual $2,100. for 17,322 sq ft lot - Water bills for large lots can be upward of $600.00 a month - This property has SRP flood irrigation, at $190. for 2024 year - APS was $353.00 for October and Chandler water for home is $75.00 a month - TMobile for high speed internet $55.00 monthly - Pool maintenance including chemicals is $126.00 a month for weekly service - Home is under one year coverage for you - However I do have contractor names if you want them - Questions just have your agent reach out to me 🙂

4210 E Desert Vis Trail Cave Creek, AZ 85331

$1,269,999 - 4Br/4Ba -  for Sale in Saguaro Trails, Cave Creek
Open House
$1,269,999
4 Beds
3.5 Baths
3,558 SqFt
Status Active
MLS # 6614047
Property Type Single Family Residence
Price Type --
Homesite 1-SpurCross-This home includes the multi-generational living with the great room and bedroom 2 suite. Complete with a kitchenette featuring an eat-in kitchen island and washer/dryer/fridge hook ups and walk in shower in lieu of tub/shower, it's a private apartment within the home. Other options included in this price are vaulted ceilings with beams, exterior stone, laundry room sink, 15' multi-slide doors in great room, and bbq gas preplumb. The upgraded finishes include hardwood flooring, quartz countertops, upgraded cabinets, and bathroom surrounds. Upgraded kitchen appliances include double ovens, built in microwave, chimney hood, and 36'' cooktop.

9197 W Molly Lane Peoria, AZ 85383

$1,269,900
4 Beds
3 Baths
3,799 SqFt
Status Active
MLS # 6776781
Property Type Single Family Residence
Price Type --
Located in the highly sought after community of Cibola Vista, this home offers resort-style living situated on your half an acre lot! With tall ceilings and large windows all throughout the house, you have beautiful natural sunlight to enjoy your private oasis. A true chef's kitchen with high-end appliances perfect for entertaining or home cooked meals. Out back you are greeted with a huge covered patio with outdoor speakers and surround sound, a sparkling pool with an oversized baja shelf for lounging and built-in outdoor kitchen perfect for summer parties and outdoor living! A 3 car garage with epoxy flooring for all of your toys. Whether you're envisioning a detached casita, an RV garage, or a private garden sanctuary, the possibilities are endless on this large lot with an RV gate!

6919 E Ivyglen Street Mesa, AZ 85207

$1,269,000
5 Beds
3.5 Baths
4,170 SqFt
Status Active Under Contract
MLS # 6748564
Property Type Single Family Residence
Price Type --
MOTIVATED SELLER! The epitome of luxury living! Located in the prestigious gated community of Annecy, & one of the few custom homes within the community. Grand entryway, with elegant stone & wood flooring, custom ceiling trim & exceptional craftsmanship found throughout. Seamless blend of stone & hardwood floors, wide baseboards, arched doorways, & intricate crown moldings. The primary suite is a true spa-like retreat, complete with his & hers walk-in closets. Enjoy two sets of Jack & Jill bedrooms/bathrooms, a remarkable laundry room, & an entertainer's kitchen with new appliances that will leave you in awe. Stunning all-black tile swimming pool, complete with waterfall, slide, built-in hot tub, & stone pool decking. Outdoor kitchen features a large gas grill with granite countertops The property also offers a paver driveway, a massive extended length three-car garage with plenty of storage, and an RV gate. This home is truly a showstopper!

2909 N 81st Place Scottsdale, AZ 85251

$1,265,000
4 Beds
2 Baths
2,217 SqFt
Status Active Under Contract
MLS # 6763705
Property Type Single Family Residence
Price Type --
Welcome to your dream home in the vibrant heart of Scottsdale! This stunning, completely remodeled home combines modern luxury with beautiful design. From the new roof, AC, plumbing, electrical, flooring, cabinets, bathrooms, level 5 smooth drywall, etc., every detail has been meticulously crafted. Bright, open-concept living area perfect for entertaining. Stylish kitchen that features sleek quartz countertops, stainless steel appliances, walk-in pantry, and striking black cabinetry. Large open living room with a new gas fireplace, sets the perfect backdrop for gatherings with family and friends. There is a spacious master suite with a lavish en-suite bathroom featuring a soaking tub and separate shower. Step outside to discover your backyard paradise! With a large covered patio, sparkling pool, spa, and lush turf, it's the ideal space to soak up the Arizona sun or host unforgettable outdoor gatherings. The low-maintenance landscaping enhances the home's curb appeal while providing a tranquil escape. Nestled in a highly sought-after Scottsdale neighborhood, you're just moments from the vibrant Old Town, with its exceptional shopping, dining, and entertainment options. This home isn't just a property; it's a lifestyle waiting for you to embrace. Don't miss your chance to make this stunning oasis your own!

30804 N 120th Avenue Peoria, AZ 85383

$1,265,000 - 5Br/4Ba -  for Sale in Blackstone At Vistancia B10, Peoria
Open House
$1,265,000
5 Beds
4 Baths
3,354 SqFt
Status Active
MLS # 6712297
Property Type Single Family Residence
Price Type --
Blackstone exclusive golf and CC community. Newest upgrades Including new paint in/out, flooring, pool pump, custom power window treatments and so much more. Super clean move in ready home! Kitchen overlooks great room with fireplace and boasts SS appliances, oversized island with prep sink an abundance of cabinets with roll outs, huge walk in pantry with second fridge. This split floor plan provides privacy to master in one corner, across the home a guest suite and separate hall leads to three addition bedrooms with media area. Large private lot with natural space behind, mtn views, pool, spa, extended paver patio, gas plumed for bbq, putting green to sharpen your game,. It's your chance to live the lifestyle you deserve in a spectacular home. provides privacy to company. Staycations are a thing of the past with this spacious resort style yard that includes extended covered paver patio, pool, spa, putting green complimented with mountain views. Freshly painted inside and out, new flooring, added enhancements make this home move in ready. It takes only moments to fall in love with this home. Area highlights include biking/walking paths, play areas, clubhouse/rec, tennis/pickleball, work out facility, golf, and more all within minutes of the 303 access. It's time to enjoy life!

3748 E Mare Court Phoenix, AZ 85044

$1,264,000
6 Beds
3.5 Baths
4,801 SqFt
Status Active
MLS # 6718151
Property Type Single Family Residence
Price Type --
Back on the market..Huge BASEMENT-HEATED Pool-Oversized Lot with dreamy mountain views and sunsets-4.5 Car Garage.Beautiful custom home situated in the Equestrian Estates.Step into your elegant home boasting 6 bedrooms, 3.5 baths, a chef kitchen with 2 workstations new granite, built-in appliances, double ovens and stainless appliances.Travertine floors in main living area. Wood flooring in bedrooms-lots of storage and walk in closets. Primary suite with sitting area and 2 closets and direct access to backyard.Full built out basement w/ bonus room, bar, 2 bedrooms and bath. Perfect place to send the kids or create a quiet cool place to retreat from the heat. Built in BBQ, view deck&storage shed.Beautiful neighborhood, Kyrene School District, horse back riding trails and more.

30813 N 138th Street Scottsdale, AZ 85262

$1,259,000
4 Beds
3 Baths
3,320 SqFt
Status Active
MLS # 6768091
Property Type Single Family Residence
Price Type --
Looking for a home with all the bells & whistles... you have found it! This beautiful Santa Fe Style residence on a 1.248 acre lot with no HOA is a true dream and value. Surrounded by breathtaking mountain views, a 3-car sided garage, RV gate, circular driveway and more. Travertine flooring, stylish light fixtures & windows enrich the experience. A desirable great room enhanced by a floor-to-ceiling stone fireplace & media niches is designed for creating memories. A prep island w/a breakfast bar, abundant cabinetry adorned w/crown moulding, granite counters, travertine backsplash, built-in appliances, a handy pantry, & a lovely bay window in the dining area complete this chef's kitchen. Note that private water well pump & tank have recently been replaced as well as the pool equipment. Rest & rejuvenation await in the owner's retreat, showcasing plush carpet, direct outdoor access, double door entry, a two-way fireplace, plantation shutters, and an ensuite comprised of two vanities, soaking tub, and a walk-in closet. As a bonus, you will also have an open den/office. Wonderful backyard includes a covered patio with a fireplace, built-in BBQ, fire pit, roof deck, and a shimmering pool & spa. What's not to like? Experience the epitome of desert living in this meticulously crafted haven!

23164 N 73rd Place Scottsdale, AZ 85255

$1,258,000
3 Beds
3 Baths
2,113 SqFt
Status Active
MLS # 6785097
Property Type Single Family Residence
Price Type --
Gorgeous one storey home built in 2018, single level with 3 bedrooms and 3 full bathrooms have everything you need on your next home! With over $150K in upgrades! Open concept living areas, stunning gourmet kitchen with stainless steel appliances, and a spacious waterfall island. The master bathroom includes an oversized bathtub, and other luxurious details throughout the house. Custom electronic shades in the master bedroom and sliding patio door provide privacy in the living and sleeping spaces. The house is equipped with a charging station for electric vehicles in the garage and driveway. A gorgeous backyard will allow you to enjoy the Arizona sunsets with no nearby obstructions. Large community pool with spa, ourdoor green areas, gym and sauna complement this beautiful h

19950 W Cambridge Avenue Buckeye, AZ 85396

$1,258,000
4 Beds
3.5 Baths
2,919 SqFt
Status Active
MLS # 6736777
Property Type Single Family Residence
Price Type --
Beautiful 2919 sq ft 1 level Horse property with Casita and 1 acre with the best of both worlds, space and proximity to everything! Some of the features, include 20-foot ceiling entry in the great room, Shutters, 4 large bedrooms, 3.5 bath, including a master suite, walk-in closet master bath with en suite with a garden tub and skylight, french doors opening to the covered patio, custom tiled bathrooms, rustic wood beams, propane fireplace, chef's paradise kitchen with granite countertops and stainless-steel appliances, built-in wine fridge in the adjacent family Room, tile floors, office with additional outside access, three-car oversized garage/man cave with built-In cabinets, AC/Heat, Fan, 220-volt outlet for a charging station, and a not to forget a dream backyard with space!

10230 N 39th Street Phoenix, AZ 85028

$1,255,000
2 Beds
2 Baths
2,646 SqFt
Status Active
MLS # 6774365
Property Type Single Family Residence
Price Type --
OPPORTUNITY TO MAKE THIS YOUR DREAM HOME! SURROUNDED BY MOUNTAIN VIEWS AND WILDLIFE*FEEL LIKE YOU ARE IN THE COUNTRY BUT WITHIN THE CITY AND EZ COMMUTE TO DOWNTOWN

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