Every October, haunted houses aren’t the only things scaring people. Real estate myths have been creeping through social media and open houses for years, and some of them just won’t die.
Let’s put a few of these to rest. Below, I’m separating fact from fiction on some of the most common myths I 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 a home. The real horror story is 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 the loan type, you could qualify with even less.
Just keep in mind that buyers who put down less than 20% often pay private mortgage insurance (PMI).
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.
Plus, homes look their best in autumn light and colorful landscapes. Some Octobers in Northeast Florida have been surprisingly strong for listings before the holidays slow things down.
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. In Jacksonville, 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 unless something major happens. Focus on what you can control, which is finding a home that fits your budget and long-term plans.
Myth #5: You can’t buy a home with bad credit.
Truth: While a lower credit score makes it harder, it doesn’t make it impossible.
Most conventional loans require a minimum score of around 620, and FHA loans can go as low as 500 with 10% down. I’ve seen buyers in Clay and Duval counties qualify for homes with less-than-perfect credit once they explored the right options.
Myth #6: Online home value estimates & agent pricing are equally accurate.
Truth: Algorithms can’t see your upgrades, view, or how well you’ve maintained your home.
Online estimates can give a starting point, but a local agent can provide a pricing strategy based on real market data. In Northeast Florida, values often depend on area demand.
Myth #7: Renting is smarter than buying
Truth: This one really depends on your current situation.
Renting can make sense short-term, and I’ve had many clients who opt to rent for strategic reasons.
On the other hand, buying can help build long-term 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 best long-term investments you can make in Jacksonville.
Myth #8: The lowest interest rate is the best deal.
Truth: It’s not just about the rate; it’s about the full loan terms.
The annual percentage rate (APR) includes fees and points that affect your true cost. Before choosing a lender, compare total costs and ask questions about what happens if rates change.
Myth #9: We’re headed for a 2008 housing crash repeat.
Truth: Today’s market looks nothing like 2008. Back then, subprime loans and risky lending caused a flood of foreclosures.
Now, underwriting is stronger and nearly half of homeowners are equity-rich. In Jacksonville Florida, prices have adjusted but not collapsed, and supply is still tight enough to support stability.
Myth #10: Preapproval and prequalification are the same thing.
Truth: They are not.
Prequalification is a quick estimate based on what you share, often without documents. It tells you a rough price range, not what a lender will actually approve.
Preapproval requires a lender to verify income, assets, debts, and credit, then run your file through underwriting to produce a stronger letter. In Northeast Florida, sellers and listing agents often expect a preapproval with offers, which can improve your odds in multiple-offer situations.
What to know:
Prequalification: verbal or online questionnaire, no verified docs, ballpark number.
Preapproval: documents reviewed, credit pulled, automated underwriting, clearer budget and terms.
Timeline: with Trevor Harrington, preapproval typically takes 24 hours once documents are submitted.
Bring these: last [2] pay stubs, last [2] W-2s or [2] years of tax returns if self-employed, [2] months of bank statements, government ID, and details on any debts.
Pro tip for Jacksonville: some listings require proof of funds or a preapproval to schedule a showing. Start early so you can tour and offer without delays.
Myth #11: Student loan debt nixes qualifying for a mortgage.
Truth: Having student loans doesn’t automatically disqualify you from buying a home. It just factors into your overall debt-to-income ratio, the same way a car payment or credit card balance would.
A loan officer can help you understand how your payments factor into qualification and what steps you can take to strengthen your application.
In Jacksonville and the surrounding counties, I’ve worked with plenty of buyers who have student loans and still qualify for a mortgage. The key is understanding how that debt affects your ratios 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 professional guidance. From pricing to negotiations to legal details, an agent’s expertise can save you time, stress, and money.
Think of your agent as your compass and flashlight in a haunted corn maze, without the jump scares.
Real estate myths make great stories, but they don’t lead to great results. If you’ve been holding back because of something you heard at a dinner party or saw on social media, it might be time to fact-check your fears.
Want to know what’s really happening around Jacksonville Florida? Let’s talk about your options.
