Let’s be honest—buying a home can feel overwhelming. Everyone seems to have an opinion: your uncle who bought in the ’90s, your coworker who just closed last year, some guy on YouTube. One person says wait. Another says go now. Someone else says you’ll never qualify.
Sound familiar?
Over the years, I’ve sat across the table from hundreds of hardworking people who were ready to own a home but were held back by bad information. Not lack of income. Not sky-high prices. Just myths.
These are smart, responsible folks—nurses, delivery drivers, teachers, single parents, small business owners—who’ve done everything right. But they hesitate to take the next step because they’ve been told something that simply isn’t true.
That’s why I wrote this. If you’re wondering whether homeownership is realistic for you in 2025, I want to clear the air. Because I believe you deserve facts, not fear. And if homeownership is your goal, I want you to have the knowledge and confidence to go after it—without second-guessing yourself at every step.
Let’s dig into the biggest myths I hear all the time—and let’s debunk them together.
Myth #1: You Need a 20% Down Payment
This is the myth that stops more buyers than any other. I’ve had so many conversations that start with:
“I want to buy a home, but I’m still saving for 20% down.”
Here’s the truth: you do NOT need 20% down to buy a home. Not even close.
That old advice came from a different era—when interest rates were in double digits, housing prices were much lower, and lending options were more limited. But today, there are multiple loan programs designed specifically for buyers who don’t have large savings.
Let’s break down a few examples:
FHA Loans
You only need 3.5% down, and they’re flexible on credit. If you’re buying a $300,000 home, that’s just $10,500—not $60,000.
Conventional Loans (97% Financing)
Conventional loans can require as little as 3% down. These are great for buyers with stronger credit who want to avoid the stricter requirements of FHA loans.
VA Loans
If you’re a veteran or active military, VA loans offer 0% down with no private mortgage insurance (PMI). It’s one of the best home financing options available today.
And on top of all that—there are down payment assistance programs available in both Houston and California that can help cover part or even all of your down payment and closing costs.
🔗 Buy a Home with No Money Down
So, if the only thing holding you back is that 20% number—please hear this: it’s a myth. And it’s costing people time, equity, and opportunity.
Let’s talk about what you really need. You might be much closer than you think.
Myth #2: You Need Perfect Credit
This is another big one—and it stops a lot of good people from even having the conversation. I’ll hear things like,
“My credit isn’t perfect, so I know I can’t qualify.”
or
“I missed a few payments a couple years ago, so I figured I’d wait.”
I get it. We’ve all been there. Life happens. But here’s what you need to know: you do not need a perfect credit score to buy a home.
In fact, most of the clients I work with have credit scores that are average—or even a little below. And they still qualify. Why? Because today’s loan programs are built for real life.
Here’s what that looks like:
FHA Loans
You can qualify with a credit score as low as 580, sometimes even lower with a larger down payment. That’s one of the most flexible programs out there.
VA Loans
There’s no official minimum credit score required for a VA loan, though most lenders like to see something around 580–620. But again, it’s more flexible than you might think.
Conventional Loans
These typically require a 620 or higher, but there’s a lot of nuance. Even if your score is just shy of that, we may still have a path forward—or a short-term plan to get you there.
The truth is, lenders look at the full picture—your income, your payment history, your savings, your job stability—not just one number.
🔗 The Importance of Credit Scores in Securing a Mortgage and How to Improve Yours
And if your score isn’t where you want it to be yet? That’s okay. I’ll walk you through a game plan to boost it. I’ve helped clients improve their score in just a few months—enough to get them from “not yet” to here’s your pre-approval letter.
Don’t count yourself out. Let’s take a look together. You might be closer than you think.
Myth #3: It’s Smarter to Rent Right Now
I hear this one all the time, especially from younger buyers or folks who’ve seen housing prices rise quickly:
“With the way things are right now, I think it’s safer to just keep renting.”
And hey—I understand the instinct. Renting feels flexible. No long-term commitment. You don’t have to worry about repairs or the real estate market. But let me challenge that a little…
Renting is convenient—but it’s rarely cheaper in the long run. And in 2025, it’s often not even cheaper in the short term.
Let’s take Houston, for example. In many neighborhoods, the average rent for a 3-bedroom home is now over $2,200 a month. That’s more than many of my clients pay for their mortgage, taxes, and insurance combined. And in California? Forget about it. Rent prices are through the roof—and still climbing.
The difference?
- Rent payments go to your landlord.
- Mortgage payments go toward your equity—something you actually own.
Let’s say you buy a home and live in it for 5 years. With every payment, you’re building equity, often gaining appreciation, and potentially locking in a lower monthly cost compared to rent—which keeps rising. Renters? They’re still paying someone else’s mortgage.
🔗 Understanding Mortgage Interest Rates
And here’s the other side: homeownership builds wealth. Not instantly. Not effortlessly. But steadily, over time. It gives you security, stability, and a tangible investment in your future.
So no—renting isn’t necessarily smarter. It’s just more familiar. If you’re tired of making rent payments with nothing to show for it, let’s talk. You might be surprised by how much home you can actually afford.
Myth #4: The Housing Market Is Too Risky Right Now
This myth usually comes with a heavy dose of headlines and social media panic:
“A crash is coming.”
“Now’s the worst time to buy.”
“Prices are going to drop any day now.”
Look—I’ve been doing this since before the 2008 crash. I lived through that market. I saw what happened, and I’ve seen what’s happened since. And I’ll tell you straight: 2025 is not 2008. Not even close.
Today’s market has stricter lending standards, stronger buyer qualifications, and more resilient pricing. Is it cooling compared to a couple of years ago? Sure. But that’s not a bad thing—it’s a healthy correction that’s creating opportunity for smart buyers.
Here’s what I’m seeing right now:
- Sellers are more willing to negotiate—especially in Houston and many parts of California.
- Interest rates are stabilizing, and in some cases trending down.
- Buyers with pre-approval and a strong offer are standing out without the bidding wars we saw in 2021.
For the clients I work with, this is actually one of the best markets in years to buy—if you’re prepared. The competition has cooled. The pressure has eased. And if you’ve got your financing lined up, you can shop with confidence and avoid overpaying.
🔗 Houston Housing Market Trends: What Homebuyers Need to Know
🔗 Today’s Mortgage Market – How Houston Buyers Can Benefit
The people who are going to benefit most are the ones who stop waiting for perfect conditions and start making smart moves now. Let’s put a strategy together that works for your goals—not someone else’s fears.
Myth #5: It’s Just Too Complicated to Buy a Home
This one hits home for a lot of folks, especially first-time buyers. You might be thinking:
“I wouldn’t even know where to start.”
“What if I mess something up?”
“It just seems like too much.”
I get it. From the outside, the homebuying process can seem like a maze of paperwork, credit checks, inspections, and lingo that feels like a foreign language. But here’s the truth: buying a home doesn’t have to be complicated—when you have the right guide.
At First Nation Financial, we don’t expect you to know everything. That’s our job. Your job is to share your goals, your questions, your concerns—and we’ll take it from there. We’ll break everything down step by step, and make sure you feel informed and confident at every turn.
Here’s how we simplify the process for our clients:
We start with a real conversation.
We don’t do “cookie-cutter” loans. We ask about your job, your family, your timeline, and your financial comfort zone.
We build a strategy around your situation.
Whether you have money saved or not, whether your credit is great or needs work—we’ll create a plan that’s realistic and actionable.
We walk with you through every step.
From pre-approval to closing day, you’ll never be left wondering what comes next. And if anything’s confusing? We explain it. In plain English.
I promise you—if buying a home is your goal, we can make the path a lot clearer. And a lot less stressful than you think.
Conclusion: What If the Myths Are the Only Thing Holding You Back?
I’ve worked with so many buyers over the years who started out unsure—unsure about their credit, their savings, the market, or whether they could even qualify. But what I’ve learned is this:
Most people don’t miss out on homeownership because of money.
They miss out because of fear.
Because of bad advice.
Because of myths that made them believe they weren’t ready when they actually were.
If anything in this post resonated with you—if you’ve been holding back because of what you think you need to buy a home—let’s have a conversation. Not a sales pitch. Not a bunch of confusing jargon. Just an honest, one-on-one talk about where you are now and what’s possible.
You don’t need perfect credit.
You don’t need 20% down.
And you definitely don’t need to have it all figured out.
You just need to take the first step.
At First Nation Financial, we’re here to meet you exactly where you are—and help you take that next step with clarity, encouragement, and the kind of guidance that’s rooted in real experience.
📞 Book a free consultation
📧 Contact us with your questions
Let’s turn down the noise, sort through the myths, and build a real plan—for you.
