You’ve probably heard the saying: "Don’t believe everything you hear." This advice rings especially true when it comes to today’s housing market. With so much misinformation floating around, it’s more important than ever to rely on accurate, research-based information, especially if you’re thinking about buying or selling a home.

By partnering with a knowledgeable real estate agent, you can cut through the noise and get the facts. Here are some of the most common housing market myths—and the reality behind them.

1. “I’ll Get a Better Deal Once Prices Crash”

There’s a popular belief that home prices are on the verge of crashing, and if you wait, you’ll score a great deal. However, the data tells a different story. While home prices can vary by location, there’s no indication that a crash is on the horizon.

Back in 2008, a significant oversupply of homes led to a dramatic drop in prices. Today, however, we’re facing an undersupply of homes for sale, which makes this a completely different market scenario. So, if you’re holding out for a price drop, it’s important to realize that waiting might not yield the deal you’re hoping for.

2. “I Won’t Be Able To Find Anything To Buy”

Many people are hesitant to move because they fear they won’t find a suitable home. But if you haven’t spoken to a real estate expert recently, you might be surprised to learn that the inventory of homes for sale has been increasing throughout the year.

While the number of homes available is still below pre-pandemic levels, it’s higher than it was at this time last year. This means that the market is heading in a healthier direction, and finding a home is becoming more feasible. So, if you’re still haunted by memories of record-low inventory during the pandemic, it’s time to update your perspective.

3. “I Have To Wait Until I Have Enough for a 20% Down Payment”

One of the most persistent myths is that you need a 20% down payment to buy a home. This misconception is so widespread that Fannie Mae reports 90% of consumers overestimate or don’t know the minimum down payment required for a typical mortgage.

According to data from the National Association of Realtors (NAR), the typical down payment is much lower than you might think. First-time homebuyers generally put down around 6%, far less than the 20% many believe is necessary. Even for repeat buyers, who may put down closer to 20%, this is often because they’re using equity from their current home.

In reality, you may need as little as 3.5% or even 0% down, depending on the type of mortgage you qualify for. So, don’t let the 20% myth stop you from pursuing your dream of homeownership.

The Role of a Real Estate Agent in Dispelling Myths

If you’ve put your homebuying or selling plans on hold because of these myths, it’s time to consult a trusted real estate agent. They can provide you with accurate information and data, helping you move forward with confidence.

Bottom Line

If you’re hearing or reading things that give you pause about the housing market, don’t hesitate to reach out. Having someone you can trust for reliable information is essential to making informed decisions in today’s market.