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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42011 N Alistair Way Anthem, AZ 85086

$995,000
4 Beds
3.5 Baths
3,290 SqFt
Status Active
MLS # 6782058
Property Type Single Family Residence
Price Type --
This grand home has been updated to the current contemporary design! Updated kitchen and baths with quartz counters, updated lighting and hardware, new flooring throughout, 12 foot ceilings, grand hallways, gas fireplace, 2 updated TRANE HVAC systems with Honeywell dampening system that creates 4 zones to give you more control over your electric bill. 3 car garage with epoxy flooring. Updated water heater, Updated pool heater. Backyard pool/spa, built in grill, fireplace with built in seating and bar top areas, synthetic grass. Has some mountain views! All on a large lot in Anthem Country Club. FINALLY...a true opportunity to own a WOW property in Anthem Country Club for the most discerning Buyer! This home and it current updates will blow your socks off! Heated spa and pool, built-in BBQ island, gas fireplace on extended patios. Gourmet Chef's Kitchen boasts stainless appliances, gas cooktop, wall ovens, quartz counters, custom beverage center and large island. Stunning master bath with dual vanities, walk-in shower and separate soaking tub plus walk-in closet. Master has separate exit to private patio and all the backyard activities. Every bedroom has an en suite full bath. Country Club Lifestyle with Resort Style Amenities...Anthem Country Club is managed by Club Corp which offers many great benefits to members that reciprocate around the world! Two 18 hole golf courses, Persimmons and Ironwood, designed by Greg Nash. 2 Pro shops, 2 sets of men's and women's lounges / locker rooms, 2 member restaurants, 2 gyms, 2 pools, 2 spas, several tennis courts, Gorgeous Ball Room for ongoing Member events and private events venues available as well, 2 Impressive guard gated entrances, all surrounded by breathtaking mountain and golf course views...you will love being a member of the Anthem Golf & Country Club!

18250 S Backwoods Trail Kirkland, AZ 86332

$995,000
3 Beds
3 Baths
3,040 SqFt
Status Active
MLS # 6650812
Property Type Single Family Residence
Price Type --
Looking for an Off-Grid, private homestead with NO HOA on nearly 30 acres? This is the home for you! Located 3.7 miles down a private dirt road behind a locked gate, you'll find this oasis of serenity and be gauranteed the peace you have been seeking. The community has minimal restrictions ensuring you have the freedom to do what you like with your property while still protecting and preserving the future value of the home and land sites. Surrounded by Junipers and Pinion Pines in the Weaver Mountains, at just under 5,000 ft elevation with great views and a seasonal creek, it's the perfect way to escape the heat and enjoy four mild seasons. 4WD is recommended for the winter months. Built with energy efficiency and great economy in mind, structural insulated panels (SIPS) provide excellent insulation and comfortable climate control. The home is perfectly situated to utilize passive solar for heating and cooling year round but also comes with two cozy propane stoves. The metal roof gives you longevity and reliability. This two story custom home is 3040 sqft PLUS an additional 480 sqft glassed and screened Arizona Room on the upper level and a covered patio below for your relaxation and enjoyment. The open floor plan has beautiful pine cathedral ceilings and a spacious kitchen with granite counter tops and built-in appliances. The island comes with the added bonus of under-counter shelving and built in sink! The upper floor has 3/4 solid red oak flooring and the lower floor and large upstairs laundry room have new solid core plank vinyl flooring. Master bedroom is on main level along with kitchen, laundry, office, and Arizona room. The master bathroom is a 3/4 with walk-in tile shower. On the lower level of the home, you will find a 608 sqft workshop with an overhead door. This could also be used as a tandem 2-car garage. Outside is an oversized detached carport and fenced back yard. Plenty of space in the two-bay covered RV parking! Your garden is irrigated and entirely enclosed in hardware cloth fencing. Large 55 gallon drum has been buried outside to create an in-ground cook pit for your large family gatherings and BBQ events! Grass backyard is fully fenced and well-lit at night with motion sensing lights. The private well is connected to a 5,000 gallon water storage tank and a solar pump. The solar for the well is conveniently placed right next to the well and storage tank. All other solar equipment and batteries are housed in an additional outbuilding. This would be an ideal location for horses! Clean and well maintained, one owner home - what a unique opportunity! This truly needs to be seen to appreciate it fully.

16385 W Yuma Road Goodyear, AZ 85338

$995,000
5 Beds
3.5 Baths
3,774 SqFt
Status Active
MLS # 6697999
Property Type Single Family Residence
Price Type --
Luxury Redefined: 5 Bedroom Custom Estate with Pristine Features. Located on a sprawling lot of over an acre, this exquisite custom home blends sophistication with practicality, offering the perfect sanctuary for families and entertainers alike. Boasting 5 generous bedrooms and 3.5 lavish bathrooms, including a self-contained casita with its own full bathroom, this residence ensures comfort at every turn. Step inside to discover a grand open-concept kitchen featuring sleek granite countertops, a glass tile backsplash, and top-of-the-line stainless steel appliances. The breakfast bar opens seamlessly into a cozy living room, anchored by a stylish gas fireplace, creating an inviting space for gatherings. The master suite is a true retreat, complete with a sliding glass door leading to the lush backyard, a sunken bathtub with jets for ultimate relaxation, a modern snail shower, dual sinks, and a separate walk-in closet. A Jack and Jill bathroom mirrors this luxury with a sunken tub, surrounded by chic tile and granite countertops. Functionality meets style in the large laundry room, equipped with ample cabinetry, a sink, and granite countertops. Outside, the expansive covered patio is an entertainer's dream, featuring a built-in BBQ, a vast grass area, and a stunning pool, perfect for Arizona's sunny days. Also, the backyard is a coveted irrigated lot. Located conveniently close to shopping and freeway access to both the 303 and I-10, this home offers both privacy and accessibility. Whether it's luxurious living or high-end entertaining, this property promises to deliver an unmatched lifestyle. Make this breathtaking estate yours and indulge in the sophistication and comfort it offers every day.

8608 E Angus Drive Scottsdale, AZ 85251

$995,000
4 Beds
3 Baths
1,942 SqFt
Status Active
MLS # 6740068
Property Type Single Family Residence
Price Type --
Welcome to this beautiful, entertaining home, located in a highly desired prime location, just southeast of Old-Town Scottsdale! This 4 bed, 3 bath, which includes a guest house, is ready for you to move-in. Home has been used as a vacation rental, making the possibilities endless for one to continue as one, or a great family home! Situated on a corner lot in the cul-de-sac with an alleyway separating your lot from the neighboring lots behind you. Inside you will find wood-plank flooring throughout all the main living areas of the home for easy care and maintenance. An open, tri-level split floor plan with the great room, formal dining, kitchen, and laundry areas all on the main level. The kitchen has plenty of counter-top space for easy prep, an eat-up bar area, all stainless-steel appliances including an all glass-top electric range, smart-fridge. Extra storage space in the laundry area. Wet bar area with beverage fridge and built-in microwave. Exit out the formal dining area to the back yard. Take a few steps down and you'll find two guest bedrooms and a full bath, perfect for the kids. The master suite takes up the entire upstairs area, complete with your own sitting area, private bar area, workspace for you, and ensuite bath. Step outside to the large backyard beautifully designed with a mixture of artificial grass, tall palm trees and desert landscaping. An abundance of patio space throughout for entertaining your guests. Your own refreshing pool to take a dip in every day. Private lounging area just off to the side. Cook up a feast on the built-in BBQ. Relax and enjoy the beautiful nights in the above-ground spa. No need to go to a resort - it's all here as your very own oasis! Just off the private lounge area is a guest house, great for the in-laws or extended-staying guests, complete with its own wet-bar and bath areas. Just a short drive to Camelback Fashion Square with plenty of shopping, eating and luxury lifestyle. No HOA makes this home the perfect place for you!

4112 W Paradise Lane Phoenix, AZ 85053

$995,000
5 Beds
3.5 Baths
2,918 SqFt
Status Active
MLS # 6733379
Property Type Single Family Residence
Price Type --
Gorgeous single story property, features , 5 total Bedrooms and 3.5 Baths on a half acre lot with NO HOA on a corner lot, has beautiful curb appeal. Complete Studio for extra income or as a mother in-law suite with private entrance and parking, 3 car garage, beautiful flooring throughout,tall ceilings with plenty of natural light, ,plantation shutters, french door to patio , crown moldings, wood fireplace, formal dining room with decorative columns, granite counters, travertine splash, wine cooler huge kitchen island with breakfast bar, gazebo/Pergola with built in BBQ, 3 point access to the back yard, RV parking, both A/C units were replaced in 2023, pool filter replaced in 2022, MUST SEE TO APPRECIATE ! Great location, near I17 and 101, Banner Thunderbird Hosp, ASU West,Shopping mall

3634 E Mcdowell Road Mesa, AZ 85215

$995,000
5 Beds
3 Baths
3,343 SqFt
Status Active
MLS # 6764100
Property Type Single Family Residence
Price Type --
This custom, basement home is situated behind a private gated entry on a 39,0000 sqft lot with a stunning pool, plenty of green grass, and mature trees, including several new citrus trees. With newly replaced front gates and the fresh exterior paint job, the property boasts impressive curb appeal. As you step inside, you'll be greeted by a bright and airy interior adorned with a neutral color palette and soaring vaulted ceilings. The main floor offers an inviting living room that flows seamlessly into the family room, anchored by a cozy gas fireplace—perfect for gatherings. The spacious kitchen and adjacent formal dining area make this home an entertainer's dream. The main level also features a spacious master suite with a newly updated spa-like bath, along with two additional bedrooms and another full bath, providing an ideal layout for family living. Head downstairs to discover a versatile game room/family room, ample storage space, an extra bath, and two additional bedrooms, offering plenty of room for guests. Step outside to your own back yard oasis, complete with a recently resurfaced pool, a screened-in gazebo, and an abundance of space and endless possibilities for expansion. This outdoor space is perfect for relaxation and entertaining. For added peace of mind, all windows and doors were replaced in March 2024, ensuring modern efficiency and security. A water softener and RO system were recently added as well. You will appreciate the additional drive on the west side of the property leading to additional storage, while the east side is set up for RV parking, complete with 30-amp service. This is a rare opportunity to own a unique property with limitless potential. Don't miss your chanceon this one!

4422 N 75th Street Unit 2008 Scottsdale, AZ 85251

$995,000
2 Beds
2 Baths
1,202 SqFt
Status Active
MLS # 6748552
Property Type Apartment
Price Type --
Incredible SE corner unit with the largest balcony at envy residences! Full remodel completed early 2024 making this unit the showstopper of the building. Fantasy brown granite countertops with Bosch appliance package and a beverage fridge. amazing wrap around windows with automatic blinds throughout the entire unit for privacy when you want it. Primary bathroom fully upgraded with Brizo fixtures throughout. Primary shower contains 2 overhead shower heads and a third overhead rain shower. Three body jets, a handheld, and a steaming unit for the ultimate spa like experience. Bose surround sound installed in the living room along with ceiling mounted Sonos speakers in the living room and primary bedroom. Enjoy the balcony living with plenty of room for dining, lounging, and entertaining. Envy amenities include a 4000 sq ft state of the art fitness facility, luxurious black label lounge, pool/pool lounge, 24 hour concierge/security and secured underground parking!

6712 E Voltaire Avenue Scottsdale, AZ 85254

$995,000
5 Beds
3 Baths
2,701 SqFt
Status Active
MLS # 6761124
Property Type Single Family Residence
Price Type --
JUST REDUCED!!! FULL REMODEL in 2018. 5 bedroom/3 bathroom home with a 2 car garage on a generous size lot. Owner took meticulous care of this property and it's ready for a new owner. Anyone who likes to cook will fall in love with the gourmet, updated kitchen which has an oversized island for great entertainment and workspace. The separate den/living dining areas create multiple spaces for entertaining and living. The yard has plenty of space to play, a removable fenced pool, and covered patio. There's also a bonus large shed and swing-set for hours of fun.

33419 N 53rd Place Cave Creek, AZ 85331

$995,000
4 Beds
3 Baths
2,120 SqFt
Status Active
MLS # 6770441
Property Type Single Family Residence
Price Type --
Meticulously remodeled & modern custom rustic ranch with horse stalls & barn on a large well maintained 1.1+ acre lot. Property has a tree lined wash on the north side with a rustic bridge separating the horse stalls & barn from the main yard & house. Horse stalls have their own parking upfront. Detached guest house is light and bright with split window AC, modern well appointed 1 bed/1 bath with skylights. Kitchen has center island & peninsula with breakfast counters, GE Monogram appliances, & custom stone farmhouse sink, luxurious bathrooms with delta fixtures, floating cabinets & rain showers. Large walk in closet in master & plenty of storage space in house, casita & sheds. Plantation shutters throughout, separate laundry room with wet sink & cabinets, smart switches, & 4 raised beds.

7500 E Boulders Parkway Unit 39 Scottsdale, AZ 85266

$995,000
3 Beds
3 Baths
2,121 SqFt
Status Active
MLS # 6778701
Property Type Single Family Residence
Price Type --
Nestled within the exclusive Boulders Resort community, this beautifully expanded Paseo Model home combines elegance, privacy, and luxury with stunning views of Wingate Mountain and the lush greens of The Boulders Golf Course. This sophisticated property offers an expanded dining area and a spacious guest house, perfect for entertaining or hosting family and friends. The private yard is designed for relaxation, complete with a spa where you can unwind while taking in the breathtaking scenery. Inside, the home features elegant travertine tile flooring throughout and updated kitchen with beautiful granite countertops and modern stainless steel appliances. Large windows fill the home with natural light, offering picturesque views that make each day feel like a getaway. Whether you're an avid golfer, a nature lover, or simply seeking a serene retreat, this home in the prestigious Boulders Resort community has everything you need to experience the finest Arizona lifestyle. Seller would like to sell the home fully furnished!

2748 N Blue Grass Ranch Drive Lakeside, AZ 85929

$995,000
3 Beds
2 Baths
3,544 SqFt
Status Active Under Contract
MLS # 6713643
Property Type Single Family Residence
Price Type --
If you are looking for an authentic log home on 5 beautiful acres-then look no more! Tucked away in the tall pines with several fruit trees, this home will offer you the freedom and privacy that most dream about. Classic wood flooring has been recently refurbished, making this a great place with all the accents of mountain living. Open and split floor plan makes for lots of convenience and space for all your loved ones and guests. Home is complete with a walk-out basement which has 3 large storage closets (8'X10'). Basement area could be used as a separate room for watching your favorite movies and playing pool and also boasts a ''fireplace extraordinaire'' - This space could alternatively be used as a private and very comfortable sleeping quarters for guests. The sun room is designed for passive solar and supplements the heating sources listed here creating a warm and consistent temperature to the home on those chilly days. Watch the abundant wildlife from the covered deck, deer, elk and turkey frequent the property. Scotts reservoir and the forest service is close by. Just imagine yourself and loved ones sitting on the deck, enjoying the pleasure of listening to the gentle breeze through the whispering pines or the refreshing rain on a cool summer day. Come make your future mountain memories a reality and experience life lived in the marvelous White Mountains! The White Mountains offers Golf, fishing, hunting, four wheeling, hiking, boating, gaming, target shooting ranges, skiing, snowboarding, birdwatching, animal wild-life, sledding, several seasonal festivals throughout the year, car shows, fine dining, musical entertainment, and a great day and night life! Come live your dream in this beautiful Classic Log Home in the pines-

3063 E Warbler Road Gilbert, AZ 85297

$995,000
4 Beds
3.5 Baths
4,035 SqFt
Status Active Under Contract
MLS # 6719812
Property Type Single Family Residence
Price Type --
Owner is including all furnishings with a full price offer. This is a great opportunity to pick up as a furnished rental/investment property or home sweet home. Beautiful single level home on an oversized lot with a private heated pool, low maintenance turf, rv gate and 3 car garage surrounded by single story homes. Inside you'll find a spacious open layout, large chefs kitchen, hardwood flooring and shutters throughout,. 4 generously sized bedrooms, a theater room (or office). Primary bedroom has loads of closet space. 1 guest room with ensuite bath, and 2 guest rooms with jack and jill bath. 3.5 baths total. The perfect set up for multi gen living. Located near shopping, dining, entertainment and parks. Quick commute to the 202 for great valley wide access.

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