Every October, haunted houses aren’t the only things scaring people. Real estate myths have been haunting social feeds and open houses for years—and some just won’t die.
Let’s put a few of these to rest. Below, we’re separating fact from fiction on some of the most common myths we hear in today’s market.
Myth #1: You need 20% down to buy a home
Truth: You don’t need a full 20% to buy. The real horror story? Waiting too long because of bad info.
According to the National Association of REALTORS®, the median down payment for all homebuyers in 2024 was 18%—and just 9% for first-time buyers. Depending on your loan type, you could qualify with even less.
Note: Buyers who put down less than 20% often pay private mortgage insurance (PMI). A trusted lender can help you weigh the pros and cons.
Myth #2: Fall is a bad time to list
Truth: Serious buyers don’t hibernate. Fall listings often get more attention because there’s less competition—and homes look their best in crisp light and colorful landscapes.
Myth #3: You should always price high and negotiate down
Truth: Overpricing can kill your listing faster than your favorite horror movie villain.
When you price above market value, you risk sitting too long and losing momentum. Homes priced right from the start tend to sell faster and attract stronger offers.
Myth #4: You should wait until rates drop to 5%
Truth: No one can time the market perfectly. Waiting for the “perfect” rate might cost you the perfect home.
Rates haven’t hit the 5s in years, and no expert expects that soon. Focus on what you can control—finding a home that fits your budget and long-term plans.
Myth #5: You can’t buy a home with bad credit
Truth: A lower credit score makes it harder, but not impossible.
Most conventional loans require around a 620 minimum score, and FHA loans can go as low as 500 with 10% down. We’ve helped plenty of buyers qualify once they explored the right options.
Myth #6: Online value estimates are as accurate as an agent’s
Truth: Algorithms can’t see your upgrades, view, or how well you’ve maintained your home.
Online estimates are a starting point, but a local Northern Virginia agent can give a data-driven strategy based on real comps, neighborhood trends, and buyer demand.
Myth #7: Renting is smarter than buying
Truth: It depends on your situation—but long-term, buying builds wealth.
The typical homeowner’s net worth is about $430,000, compared to less than $10,000 for renters. Even with today’s costs, homeownership remains one of the strongest financial moves you can make.
Myth #8: The lowest rate is always the best deal
Truth: It’s not just about the rate—it’s about the full loan terms.
Your APR includes fees and points that affect your true cost. Compare total costs and ask questions about future rate changes before locking in.
Myth #9: We’re headed for another 2008 housing crash
Truth: Today’s market looks nothing like 2008.
Back then, risky lending caused a flood of foreclosures. Now, underwriting is stronger and nearly half of homeowners are equity-rich.
In Northern Virginia, prices have adjusted but not collapsed—and tight inventory keeps the market stable.
Myth #10: Preapproval and prequalification are the same thing
Truth: They’re not even close.
Prequalification = a quick, unverified estimate of your buying power.
Preapproval = verified income, assets, and credit—what a lender will actually approve.
Sellers take preapproval seriously, and in competitive markets, it can give your offer the edge.
What you’ll need for preapproval:
- Last 2 pay stubs
- Last 2 W-2s or tax returns (if self-employed)
- 2 months of bank statements
- Government ID
- Details on any debts
Pro tip: Some listings require proof of funds or a preapproval to tour. Start early—so you can move fast when you find “the one.”
Myth #11: Student loans disqualify you from a mortgage
Truth: Having student loans doesn’t automatically disqualify you. It just factors into your debt-to-income ratio (DTI).
We’ve helped plenty of Northern Virginia buyers with student debt get approved. The key is understanding how your payments affect qualification—and getting preapproved early so you know exactly where you stand.
Bonus Myth: You don’t need an agent in a hot market
Truth: Even experienced buyers and sellers benefit from a professional advocate.
From pricing and negotiations to contract details, your agent’s expertise can save you time, stress, and money—and keep you from walking into an unseen pitfall.
Think of your agent as your compass and flashlight in a haunted corn maze—minus the jump scares.
Final Word: Don’t Let Real Estate Myths Haunt Your Moves
Real estate myths make great stories—but they rarely lead to great results.
If you’ve been holding back because of something you heard online or at a dinner party, it’s time to fact-check your fears and get clarity on your options.
Let’s talk about your home goals. Whether you’re buying, selling, or just exploring, we’ll make sure your next move is informed, confident, and right for you.