#1 Myth Sellers Are Desperate; Really only 1 in 10 sellers are desperate. Yes a seller who is being relocated will be more desperate than others. The other 9 sellers may be sellers who are selling to move down to a smaller home due to kids moving away or even sellers who are selling to move up due to a growing family. Really each sellers circumstance are different and unless you really know or ask what their reason for selling is, it doesn't necessarily mean they are desperate just because they are trying to sell their home.
#2 Myth Stupid to Buy Before Prices Have Bottomed Out; Truth is that home prices have been stable for 18+ months. Not to say that some homes are not continuing to drop this is really a very small percent of available homes on the market. Prices on foreclosed homes will continue to fall until the house sells. Every 30 days a bank owned home will be reduced until it sells. The fact of the matter is that when prices will start to rise they will rise very quickly. When that happens it is almost always too late because demand will increase immediately and most homes will be picked over at the point.
#3 Myth Today Buyers Need 20% Down To Get A Loan; Truth is FHA only requires 3 1/2 % down. Sellers can even pay the 3 1/2 % buyers closing costs. Yes these loan will require PMI but it is such a little amount usually only 1% of the loan. With today's low rates in the mid to low 5% that still is a very affordable loan.
#4 Myth It's The Worse Time To Sell; Truth is that this really depends on where you live. Some markets like Phoenix, San Diego & Detroit are on the upswing. The bonus is that if you are selling to move up to a larger home you are going to more than make up for the losses you may realize on your home sale.
#5 Myth Shop Around for Best Rate; Truth is your current lender will most likely give you the best deal because they don't want to loose you as a customer try them 1st. Also your local mortgage broker knows the availability of specific loan programs in your area. It is important that you compare interest rate, APR and closing costs not just rates with each lender.
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