![\"Today\u2019s](\"https:\/\/i0.wp.com\/sandpointrealtyidaho.com\/blog\/wp-content\/uploads\/2024\/08\/20240822-Today-s-Biggest-Housing-Market-Myths-original.png?w=1220&ssl=1\")
\nHave you ever heard the phrase: don\u2019t believe everything you hear? That\u2019s especially true if you\u2019re thinking about buying<\/a> or selling<\/a> a home in today\u2019s housing market<\/a>. There\u2019s a lot of misinformation<\/a> out there. And right now, making sure you have someone you can go to for trustworthy information is extra important.<\/p>\n If you partner with a real estate agent<\/a>, they can clear up some common misconceptions and reassure you by backing them up with research-driven facts. Here are just a few misconceptions they can help disprove.<\/p>\n If you\u2019ve heard home prices<\/a> are going to come crashing down<\/a>, it\u2019s time to look at what\u2019s actually happening. While prices vary by local market, there\u2019s a lot of data out there from numerous sources that shows a crash is not going to happen. Back in 2008, there was a dramatic oversupply of homes that led to prices<\/a> crashing. Across the board, there\u2019s an undersupply<\/a> of homes for sale<\/a> today. That makes this market a whole different scenario (see chart below<\/em>):<\/p>\n If this nagging fear about finding the right home if you move is still holding you back, you probably haven\u2019t talked with an expert real estate agent<\/a> lately. Throughout the year, the supply of homes for sale<\/a> has grown. Data<\/a> from Realtor.com <\/em>helps put this into context. While there are still fewer homes on the market than in a more normal year like 2019, inventory is still above where it was at this time last year (see graph below<\/em>):<\/p>\n Many people still believe you need a 20% down payment to buy a home. To show just how widespread this myth is, Fannie Mae<\/em><\/a> <\/em>says:<\/p>\n \u201cApproximately 90% of consumers overstate or don\u2019t know the minimum required down payment for a typical mortgage.\u201d<\/em><\/p><\/blockquote>\n And if you look at the data<\/a> from the National Association of Realtors <\/em>(NAR), you can see the typical homeowner isn\u2019t putting down as much as you might expect (see graph below<\/em>):<\/p>\n First-time homebuyers<\/a> are typically only putting down 6%. That\u2019s far less than the 20% so many people think they need. And if you\u2019re looking at that graph and you\u2019re more focused on how the number for repeat buyers<\/a> is closer to 20%, here\u2019s what you need to realize. That\u2019s only because they have so much equity<\/a> built up in their current house that can be used to make a larger down payment for their next move.<\/p>\n This goes to show you don\u2019t have to put 20% down, unless it\u2019s specified by your loan type or lender. Many people put down a lot less. Not to mention, depending on the type of home loan you get, you may only need to put 3.5%<\/a> or even 0%<\/a> down<\/a>. So, if you\u2019re buying your first home<\/a>, you likely don\u2019t need nearly as much for your down payment as you may think.<\/p>\n1. I\u2019ll Get a Better Deal Once Prices Crash<\/strong><\/h4>\n
![\"No](\"https:\/\/i0.wp.com\/sandpointrealtyidaho.com\/blog\/wp-content\/uploads\/2024\/08\/20240822-Why-Today-s-Inventory-Won-t-Make-Home-Prices-Crash-original.png?w=1220&ssl=1\")
<\/a>So, if you think waiting will score you a deal, know that data<\/a> shows there\u2019s not a crash<\/a> on the horizon, and waiting isn\u2019t going to pay off the way you\u2019d hoped.<\/p>\n2. I Won\u2019t Be Able To Find Anything To Buy<\/strong><\/h4>\n
![\"No](\"https:\/\/i0.wp.com\/sandpointrealtyidaho.com\/blog\/wp-content\/uploads\/2024\/08\/20240822-The-Supply-of-Homes-for-Sale-Is-Improving-original.png?w=1220&ssl=1\")
<\/a>So, if you\u2019re remembering all that media coverage about record-low supply during the pandemic, you can rest a bit easier. While the market isn\u2019t back to normal just yet, inventory is moving in a healthier direction. And that means as your options improve<\/a>, you can let go of this now outdated myth because finding a home to buy won\u2019t feel quite so impossible anymore.<\/p>\n3. I Have To Wait Until I Have Enough for a 20% Down Payment<\/strong><\/h4>\n
![](\"https:\/\/i0.wp.com\/sandpointrealtyidaho.com\/blog\/wp-content\/uploads\/2024\/08\/20240822-Today-s-Median-Down-Payment-Is-Less-Than-20percent-original.png?w=1220&ssl=1\")
<\/a><\/p>\nAn Agent\u2019s Role in Fighting Misconceptions<\/strong><\/h4>\n