Fannie Mae's Study, "What Do Consumers Know About Mortgage Qualification Criteria?" showed that Americans are misinformed about what is required of them to qualify for a mortgage when buying a home. There are two myths that may be holding you back from purchasing your dream home in Greenwood.
The first myth is that you must have a large down payment to qualify for a home loan. Americans greatly overestimate the down payment needed, however. Fannie Mae's study revealed that 40% of Americans simply don't know what the minimum down payment is and 36% are misinformed. The reality is that new programs let buyers put down as little as 3%. Below are the results of a Digital Risk survey of Millennials who recently purchased a home.
64.2% purchased their home by putting down less than 20%, and 43.8% were able to put down less than 10%!
Another myth is that you need a 780 FICO score or higher to buy your home. Fannie Mae's study revealed that 54% of Americans don't know what FICO score is needed to qualify, and 5% are misinformed. Many Americans think that a "good" credit score is 780 or higher, however, the latest Ellie Mae Origination Insight Report, which focuses on recently closed loans, debunks this myth. Below you can see that 54.1% of approved mortgages had a credit score of 600-749.
Your dream home may already be within your reach. If you would like more information on the current Greenwood Real Estate Market or would simply like to browse our listings, visit our website or contact us personally at (864) 341-7774 or lakegreenwoodproperty@gmail.com.
