15 Home-Buying Myths to Unlearn Right Now

Dusty Rhodes • May 14, 2024

Home buyers have access to a wealth of information about the home-buying process before they even begin talking to a real estate agent. Friends and family, social media — everyone has a lot to offer. While much of this guidance can be solid or well-intentioned, some of it may be outdated or inappropriate for your situation. With that in mind, Zillow asked 112 loan officers to share the most common misconceptions they hear from first-time home buyers. Based on their feedback, and input from other real estate experts we talked to, here are the top 15 myths you should be aware of, along with some truths to set you on the right path.

Myth #1: You need a 20% down payment


Fact: A 20% down payment hasn't been required to buy a home for decades, if ever.


The 20% myth topped the list of misconceptions cited by 71% of the loan officers in our survey, while 65% of those surveyed said borrowers’ most frequent question was about how much of a down payment was needed to buy a home.


Many home loans allow a down payment as low as 3%, as long as you’re borrowing less than the so-called “conforming” loan limit for the county where the home you want to buy is located. The limit for most counties is $766,550, as of 2024. Although down payments of less than 20% are common, keep in mind you will need to pay PMI (private mortgage insurance) on a conventional loan if you put down less than 20% of the home’s purchase price. To see an estimated calculation of your PMI based on your loan and down payment amounts, try our Mortgage Calculator.


Here's a quick overview of some loan types with low down payment options:


HUD/FHA loans allow a 3.5% minimum down. HUD/FHA loans are insured by the Federal Housing Administration (FHA), within the U.S. Department of Housing and Urban Development (HUD). 

USDA/RD loans don't require a down payment. USDA/RD loans are backed by the Rural Development (RD) arm of the U.S. Department of Agriculture (USDA). 

VA loans also allow 0% down. VA loans, primarily for active-duty and veteran military members, are guaranteed by the U.S. Department of Veterans Affairs (VA).


Small, specialty loan programs may also permit very low down payments. One example is a HUD Homes program in Florida that allows just $100 down for qualifying buyers with FHA financing.


All mortgage loans are subject to the lender's guidelines, requirements and restrictions. Ask your mortgage loan officer for details.


Myth #2: Your pre-approval rate is the rate you'll get when you close


Fact: Interest rates adjust daily. The rate you're quoted when a lender pre-approves you for a mortgage is based on current market conditions as well as factors like your loan amount, credit score, property type and where the home is located. In general, your actual rate can't be "locked in" until you find a home and sign a purchase contract with the seller.


“At that time, your loan officer can explain your options and help you choose a rate,' says Wesley Black*, manager for mortgage originations at Zillow Home Loans℠ in Irvine, California.


Your locked-in rate may be higher or lower than your pre-approval rate. But be aware that locked-in rates can expire, so you should ask how long yours will last.


Myth #3: You should wait to buy a home until prices are lower

Fact: Buying a home after a big run up in prices may seem risky, but waiting carries risks as well.


“Price growth is soft for sure, but for a vast majority of areas, prices aren't likely to fall, ' says Zillow® Chief Economist Skylar Olsen. “There are simply enough buyers, even at these prices and mortgage rates, and not enough homes listed for sale. And while mortgage rates should move a bit below where they are now in some distant future, myself and other experts keep putting off when we expect that to happen. If buyers find themselves able to find and win a home they'd like to commit to for the long run and are able to afford it, they can feel comfortable moving forward. In popular neighborhoods, we cannot necessarily promise a more friendly time to buy in the future."


Myth #4: Buying a home is always cheaper and a better investment than renting


Fact: Depending on where you live, renting a home can be cheaper than buying one, and home prices don't always go up and up in a neat, straight line.


Rents and mortgage payments are much closer than they have been in the past, and, in a majority of the nation’s top 50 metros, rents are cheaper than mortgages — even for a comparable home. 


However, a home you own is an asset that can appreciate over time, provide a relatively stable monthly cost and create generational wealth.


Olsen says there are benefits to each option. How the math works out for any individual depends in part on what you expect from the market, how long you expect to live in the home and what kind of lifestyle you’re looking for.

To read more about the benefits of each option, check out The Pros and Cons of Renting vs. Buying a House.


Myth #5: You should find a home before you apply for a home loan


Fact: Getting pre-qualified for a loan before you shop for a home is not just okay, it's smart.


This myth is a pervasive one, with 66% of loan officers in our survey citing it as the second most common question borrowers ask them.


Once you're pre-qualified or pre-approved for a mortgage, you'll have an idea of how much you can borrow to buy a home. Then you can shop for homes in your price range and you won't fall in love with a home outside your budget. If you're not able to get pre-approved, you'll find out what you need to do to position yourself so that you can.


Myth #6: Buying a fixer-upper will save you money

Fact: True fixer-upper homes need a lot more than a fresh coat of paint. These homes generally have major problems, some of which may not be visible. Even a skilled home inspector can't see inside walls.


“If you're looking into a fixer-upper, you should get quotes on the repairs needed beforehand,” says Korenn Meno**, a mortgage loan officer at Zillow Home Loans in Seattle, Washington. “You'll have to be patient, good with finances and willing to sacrifice all your spare time to work on your home or pay someone to get your home fixed up.'


You may end up with a home you love, but you probably won't save money with this strategy. (Take our quiz to see if tackling that fixer-upper is really right for you!) If you’re keen on finding a fixer, we suggest reading How to Find, Afford and Improve a Fixer-Upper on what’s involved in buying a fixer-upper.


Myth #7: You have to get your loan from the lender who pre-approves you


Fact: A pre-approval is a great starting point for getting a mortgage, but you're not obligated to stay with that lender. You can shop around for a lender that makes a competitive offer and is a good fit for you.


Keep in mind that it’s best practice to shop for a lender before you go under contract or lock in a rate. Once you are under contract and have completed inspections and appraisals, it’s usually not a good idea to shop around for a new lender. If you do, you will need to notify the seller's agent of the change. Any delays or changes could put you at a higher risk of getting your offer rejected by the seller. 


Myth #8: You shouldn't buy until you can afford your 'forever' home


Fact: Selling a home can be costly, but if you wait to buy until you can afford your ‘forever' home rather than buy a lower-cost ‘starter' home, you may never buy at all.


Or in the relatively more affordable markets where appreciation is still happening, you may miss out on years of equity building that could offset your selling costs when you trade up to your forever home.


Caveat: Considering a home you already know that you'll outgrow in the very near future? It may make sense to wait until you find a home where you can stay for at least five or more years.


"Over-committing to waiting without exploring your current options and how they may change with this ever-changing market or without taking proactive steps, like credit counseling or exploring down payment programs, may be the bigger strategic mistake,’’ Olsen says. “Existing housing from older generations will continue to return to the market in ideal neighborhoods for many families. But it is true that the financial benefits of buying accrue over a longer time now that mortgage rates are higher."


Myth #9: A 30-year, fixed-rate mortgage is always the best choice


Fact: Depending on rate movements, adjustable-rate mortgages (ARMs) can save thousands of dollars of interest over the life of the loan compared with a fixed-rate. ARMs have an initial fixed-rate period, and then can adjust up or down, resulting in monthly payments that can change over time.


This misconception was cited by 16% of the loan officers in our survey as one of the top 10 questions they hear from borrowers.


“Finding the right loan program and term is kind of like picking an outfit,” says Black. “Everyone is going to want or need something slightly specific to fit their unique situation.”


ARMs aren't a fit for everyone, but for many, they are worth considering.


Myth #10: You can't buy a home if you have student loans


Fact: Student loans can both help and hurt your chances of buying a home.


The potential help comes from boosting your credit scores, if you make your payments on time. The potential hurt comes from raising your debt-to-income ratio, or DTI, which is a factor in loan approval. Student loans are not an automatic barrier. They're just another form of debt that's part of your DTI calculation. Many people have student loans and a home mortgage.


For tips on how to buy a home when you have student loan debt, check out Can I Buy a Home With Student Loan Debt.


Myth #11: You have to pay the seller's asking price to buy a home


Fact: The seller's asking price is the amount the seller hopes you'll pay, but it's not necessarily the price you'll actually pay.


This may seem obvious, but home prices are typically negotiated with offers and counter-offers until you and the seller agree on a price. Be sure to ask your agent for “comps” for a home you’re interested in — this is a report of prices of recently sold, similar homes nearby — in order to draft a competitive offer or understand whether the listing price fits in your budget.


Myth #12: You need excellent credit to buy a home


Fact: Good home loans and attractive rates are available for people with less-than-perfect credit as well as those with excellent credit. This is likely to come as news to a lot of borrowers since half of the loan officers surveyed cited it as the third highest misconceptions among prospective buyers.


Who can't qualify? People who develop a habit of always paying cash for their purchases. “Establishing positive tradelines and using credit responsibly is what we're looking for,' says Casey Godwin***, a mortgage loan officer for Zillow Home Loans in Overland Park, Kansas.


Myth #13: Fall and winter are bad times to buy a home


Fact: Fall and winter can be advantageous times of the year to buy a home.


Spring is sometimes called the “home-buying season” because many families prefer to move when their children are out of school for the summer. That doesn't mean you have to buy in the spring or that you'll pay less if you do. 


Myth #14: You cannot buy a home if you are self-employed


Fact: Nearly one-fourth of loan officers surveyed said this was a common misconception among borrowers. You absolutely can buy a home if you’re a self-employed freelancer or gig worker or business owner. But the rules for getting a mortgage are different for those who receive a W-2 from an employer versus those who receive a 1099-NEC, which reports non-employee compensation.


Lenders will generally require more documentation of income if you’re self-employed, including recent invoices and proof of a steady income over a longer period of time. To learn more about what might be required, read this guide to getting a mortgage when you’re self-employed.


Myth #15: All lenders are the same when buying a home


Fact: Getting a mortgage is more than an exercise in rate shopping, and there are significant differences among lenders when it comes to the customer service, the ability to close on time and the fees attached to their loans.


Nearly a third of loan officers surveyed (30%) say borrowers falsely believe that all lenders are equal. While getting the best interest rate is rightfully a top concern for home buyers, most lenders offer a variety of competitive rates and loan products.


However, fees can vary widely and some lenders have a better track record for closing on time, communicating regularly though buyers’ preferred methods, including text and email, and making things easier on borrowers with technology to keep the process moving smoothly through closing.


For instance, with Zillow Home Loans, buyers and their agents can check on the status of their loan online, increasing visibility into the process and reducing the stress that can be generated when you’re in the dark about what’s going on.




Source: Zillow Blog


Dusty Rhodes Properties is the Best Realtor in Myrtle Beach! We do everything in our power to help you find the home of your dreams. With experience, expertise, and passion, we are the perfect partner for you in Myrtle Beach, South Carolina. We love what we do and it shows. With more than 22 years of experience in the field, we know our industry like the back of our hands. There’s no challenge too big or too small, and we dedicate our utmost energy to every project we take on. We search thousands of the active and new listings from Aynor, Carolina Forest, Conway, Garden City Beach, Longs, Loris, Murrells Inlet, Myrtle Beach, North Myrtle Beach, Pawleys Island, and Surfside Beach real estate listings to find the hottest deals just for you!

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Balancing Wants vs. Needs in Your First Home

By Dusty Rhodes • May 18, 2026
Buying your first home comes with a mix of excitement and pressure, especially when it comes to balancing wants vs needs in first home decisions. It’s easy to get drawn to stylish finishes and dream features, but the most successful buyers focus first on how a home functions day to day – and what they can realistically afford, often using tools like a home affordability calculator to stay grounded. Striking the right balance early can make the difference between a home that simply looks good and one that truly supports your lifestyle. In this guide, we break down how to separate must-haves from nice-to-haves so you can make a confident, practical decision. From navigating your home search in Spokane, WA , to settling into a new space in Austin, TX , these insights are designed to help buyers in any market make smarter choices. What’s the difference between wants and needs in a first home? When buying your first home , understanding the difference between wants and needs is one of the most important steps in making a confident decision. “Needs are the must-haves that make a home work. Good access, enough space for your furniture, a functional layout, and a location that fits your routine are essential,” states Rob Romano, Director of Operations at Coutu Movers . “Wants are the extras that make the home feel great, but don’t impact how easily you can actually live in it or move into it.” Needs are the foundation of a home that works for you day to day. These are the elements that directly impact how easily you can live in the space. Wants, on the other hand, are features that make a home feel more personalized or visually appealing, but aren’t essential. Rob Romano recommends: “From our experience handling high-end moves, clients who get clear on their needs early make better decisions and avoid common headaches on moving day – such as tight spaces, tricky access, or furniture that simply doesn’t fit. When the fundamentals are right, the entire move – from packing to final placement – runs smoother and feels a lot less stressful.” How your budget shapes wants vs. needs Your budget plays a major role in defining what counts as a need versus a want. What fits comfortably within your monthly payment should guide your priorities – not stretch them. Look beyond the purchase price and consider your total monthly cost, including your mortgage , taxes, home insurance , and maintenance. If a home pushes your budget to the limit, features that were once “wants” can quickly become financial stressors. It also helps to leave room for unexpected expenses like repairs or higher utility bills. Choosing a home that fits your budget comfortably gives you more flexibility – and the option to upgrade over time without added pressure. Why function should always come first It’s easy to fall in love with a home based on how it looks, but how it works is what truly shapes your day-to-day experience. A well-designed space makes everything from moving in to settling down feel easier, while a beautiful but impractical home can quickly become frustrating. “The biggest mistake buyers make is prioritizing how a home looks over how it functions,” says Raymond Correira, owner of Correira Brothers’ Moving & Storage . “A true need is anything that reduces friction – layout, storage, accessibility, and how easily the home can be moved into and lived in day-to-day. Most ‘wants’ fade quickly if the space isn’t practical.” Key elements of a functional home include: A layout that flows naturally and fits your lifestyle. Adequate storage to keep spaces organized and clutter-free . Easy access for moving furniture and daily use. Practical room sizes that accommodate how you actually live. Thoughtful design that fits your lifestyle . The hidden costs of prioritizing wants over needs Focusing too heavily on wants can feel rewarding at first, but it often leads to unexpected challenges down the line. While cosmetic features and trendy finishes may make a home feel move-in ready, they can distract from deeper issues that are far more expensive and difficult to fix. Over time, those overlooked “needs” can turn into costly renovations, daily frustrations, or even limitations on how you use your space. Common hidden costs include: Reworking a layout that’s inefficient or awkward. Updating outdated systems such as electrical, plumbing, or HVAC. Addressing structural issues or foundational concerns. Expanding spaces that don’t meet your needs. Retrofitting storage or functionality that wasn’t there to begin with. “After years of working on homes across the Carolinas, we always tell buyers to prioritize structure over style,” suggests Lauren Garlock, controller at BGC Expert Contractors . “A bad layout or aging infrastructure is costly to fix, but outdated finishes are an easy upgrade. Buy for the structure, renovate for the style.” Common wants vs. needs examples for first-time buyers When you’re house hunting , it’s easy for wants to feel like needs – especially when a home is beautifully presented. Breaking things down side by side can help you stay focused on what truly matters for your day-to-day life.

Before You Fall in Love with a House, Do This First.

By Dusty Rhodes • April 20, 2026
Be honest. Have you started looking at homes online yet? If you have, it’s already time to get pre-approved . Because here’s what not enough people know. If buying a home is on your radar – even if it’s more of a someday plan than a right now plan – you don’t want to wait until later on in the process to tackle this step. No matter what you’ve heard, pre-approval isn’t about commitment . It’s about clarity . And here are the two big ways pre-approval sets you up for success. You Know Your Numbers Up Front During the pre-approval process, a lender will walk through your finances and tell you what you can borrow based on your income, debts, credit score , and more. And once you have that number, your search becomes a lot more focused. With a mortgage pre-approval, you know what you can borrow, so it’s easier to figure out your ideal price point, and what you can actually afford. And that clarity is key. Because if you just start browsing online and just guess at your price point, you run the risk of falling for a house that’s outside of your price range – or missing out on ones that aren’t. You want this number to be clearly defined before your search. Here’s why. You Can Move Quickly When You Find the One This is how a lot of home searches go today. You scroll through listings just to see what’s out there, and then it happens. You fall in love with something you’ve seen online. If you’re already pre-approved? You’re probably in great shape. But if you’re not… Instead of being able to jump on that house and quickly make an offer, you have to scramble to get a lender, gather the financial documents, and then submit the necessary pre-approval paperwork first. And while you’re waiting to hear back from your lender, someone else who’s more prepared could beat you to the house. As Bankrate explains: “The best time to get a mortgage preapproval is before you start looking for a home. If you find a home you love but don’t have a preapproval in hand, you likely won’t have time to get preapproved before you need to make an offer...” And that’s avoidable, with the right prep. Because while you can’t control when the right home shows up, you can be ready for it. Think of it like showing up to the starting line with your shoes tied and your warm-up done – while everyone else is still looking for parking. It’s not about rushing your timeline. It’s about removing the delay between finding the right home and being able to move on it. One Thing You Need To Know About Pre-Approvals Speaking of timing, pre-approvals do have an expiration date. So, be sure to ask your lender how long it’s good for. The Mortgage Reports explains: “ Mortgage preapproval letters are typically valid for anywhere from 30 to 90 days. However, a preapproval can be updated and extended if the lender re-checks your information.” Doing the right prep and knowing this information can make the whole process a lot smoother. You don’t have to be ready to buy to be ready to buy. Getting pre-approved doesn’t mean you’re committing to buy right now. It just means you’ve taken a step to understand your numbers. And when a home catches your attention, you’re prepped and good to go. Bottom Line Ask yourself this: if your perfect home popped up tomorrow, would you be ready to make a move? If the answer is no and you want to buy, it may be time to get pre-approved. You don’t feel behind before your search even officially kicks off.

How to Form New Habits To Keep Your Home Clutter-Free

By Dusty Rhodes • April 13, 2026
Tired of an untidy house? Try a new approach by adopting habits that automatically keep your home orderly Keeping our homes orderly and free of clutter is a struggle for many of us, especially if we’re not naturally organized . If you fall into this category, there’s definitely hope — you just may need to change your habits. Before you roll your eyes and shrug off that idea as impossible, let me tell you what has helped me keep a tidier home. I tried a concept called the “habit loop,” which is described in The Power of Habit: Why We Do What We Do in Life and Business, the best-selling book by Charles Duhigg. The habit loop consists of three steps: cue, routine and reward. The cue is a reminder that initiates the new behavior. The routine is the behavior itself. The reward is the benefit you get from implementing the new behavior. Duhigg says that during the first two weeks of developing a new habit, it’s important to give yourself a treat that you really enjoy right after you complete the new behavior. This will teach your brain to enjoy the new routine. While I’m a professional organizer and really do enjoy decluttering and organizing, I also have an extremely busy life and like to do a lot of other things besides organizing my house. Using the habit loop really helped me get into daily, automatic tidying habits. Perhaps this approach could offer a fresh, effective way for you too to conquer clutter in your home. Here’s how I use it. Tackle Your Own Spaces First If you want to form new no-clutter habits, it’s usually easiest to begin by dealing with your own possessions in spaces you don’t share with all family members. Personally, I live with some wonderful but messy people, so if you’re in the same situation, I recommend you start with your bedroom and bathroom. Duhigg says there’s no precise time frame for how long it takes to form a new habit, but other researchers report it takes 21 to 66 days or even longer. Personally, I needed 21 to 45 days of the habit loop to form a new habit, depending on what the routine was. After that, the behavior became automatic. 1. Make your bed. No matter how messy the bedroom is, a made bed makes it neater. To create a cue for making the bed, pick something you do without fail every day, such as turning off your alarm. It’s best to do the new behavior as soon as possible after the reminder. (I sometimes get distracted if I don’t make my bed right after my cue, and then the bed might remain unmade all day.) After you make the bed — or, for that matter, after you do any new task you’re trying to make habitual — be sure to reward yourself. Your reward can be as simple as a silent “Good job!” you tell yourself or as ritualistic as brewing your morning cup of coffee and then enjoying sipping it. Just remember to give yourself a compliment or perk for working toward your tidy-house goal. 2. Clear your bathroom counters. Brushing my teeth has become the cue I use to trigger my habit of clearing my bathroom counters both morning and night. Each morning after I brush, I put away my makeup, hair products, blow dryer and toothpaste. Then I wipe off the water that has collected on the countertops. I repeat the routine at night, putting away my lotion and other nighttime beauty products. Then I congratulate myself on a job well done. Though I didn’t get it right the first few days, within 21 days I knew I’d managed to develop this habit when I automatically began clearing the counters after brushing. For me, coming home to a clean bathroom is the greatest reward! 3. Put away your attire after wearing it. On most days I wear two different outfits, one for work and one for exercise. If I’m not paying attention to where I put my things, a mess can quickly build up. So I decided that removing my clothes would be the cue to place dirty clothes in the hamper and those I’ll wear again neatly in the closet. If you share a closet with a partner who doesn’t want to participate in this routine, you have a couple of options: You can put your partner’s clothes away or leave them out, knowing that at least half the mess is put away. Since nagging or brooding rarely changes other people’s habits, it might be better to give yourself a reward for cleaning up your own mess and move on. Tackle Common Rooms Next As you move into the common areas of your home, prepare for potential barriers to establishing tidy habits since you may be dealing with other family members’ messes. While this can be frustrating, if family members aren’t cooperative I recommend simply focusing on clearing your own mess. Hopefully, your new habits will eventually rub off on your family. If not, well, your home will still be less cluttered than it was before your new habits. 4. Unbury coffee and end tables. Your cue for clearing the tables in your living room could be turning off the television or putting down the book you were reading. Remove cups, glasses and bowls from the room’s flat surfaces and place them in the dishwasher. Put magazines back in their rack or recycle those you’ve finished reading. Place remote controls in a basket next to the television. Put away books and papers and anything else left cluttering the room. Then congratulate yourself. Your living room will look great in the morning when you start your day. 5. Clear the kitchen counters. Mail, school papers, ear buds, cellphones, vitamins, dog treats, receipts, tissue boxes, keys and more can litter kitchen countertops, making food prep difficult. Plus, this type of miscellaneous debris makes the kitchen look messy and disorganized even if cooking surfaces are cleared. My personal cue for clearing my countertops each night is closing my dishwasher door after I load it. I then scan all the miscellany on the counters and quickly sort and put everything in its place. This may take me an extra 10 minutes, but by doing it each evening I find it is easier to keep the counters clear during the day. I then reward myself with a small piece of chocolate since this habit is much harder to implement than others! My other reward is coming downstairs in the morning to a clean kitchen. 6. Tidy your front hall. I walk through my front hallway on the way to bed and use the walk as my cue to tidy up the space. We have a hall closet where I can store shoes and coats, and each family member has a basket in the closet for personal items. If you don’t have a front hall closet, you might consider storing catchall baskets under a decorative table. I tell myself, “Great job!” before I head off to bed. It’s wonderful having a clutter-free front hall, especially when unexpected visitors stop by. Develop New Habits on What You Bring Into Your Home 7. Manage your mail. Mail is a major source of clutter in many homes. To cut down on the volume, you might want to receive bills and magazines electronically. There are also tools available for unsubscribing from catalogs and unsolicited credit card offers; visit DMAchoice.org or Catalogchoice.org for more information. Even with these steps, mail still has a way of piling up and causing a mess. One relatively easy habit to develop is sorting your mail before you enter the house. I collect my mail from the mailbox and walk directly to my recycling bin, where I immediately place advertising circulars. I then open unfamiliar envelopes (which usually are ads) and toss them in the bin. Since I receive most of my statements electronically, I’m left with very little to bring inside. Remaining items go into an inbox for incoming mail. I then give myself a pat on the back for preventing clutter from entering my house. 8. Be intentional with your purchases. Another habit to consider implementing is being mindful of your purchases. I’ve developed the habit of thinking seriously about the clutter factor of every purchase before buying. As I reach for my credit card, I am reminded to stop and consider whether I already own something that will suffice. I also think about where I’m going to store the item or what I’ll get rid of to make room for the new purchase. For example, when I’m considering a new pair of pants, I ask myself what I have in my closet that might be similar. If I already have too many similar items and don’t want to part with any I already own, I skip the new purchase. I use a similar approach when considering household and kitchen items. My purchases are always intentional because I’m working hard to live in a clutter-free home. I deserve a big pat on the back for working on this habit. I’m not only reducing clutter but I’m also leaving more money in my bank account at the end of the month to spend on things I truly want or need.