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10 Common Myths About Home-buying That You Shouldn’t Believe

Myth: Adjustable-Rate Loans Have to Be Paid Off Faster

Misunderstandings about loans are rampant, but the one that baffles experts the most is the myth that adjustable-rate loans have to be paid off faster. A 7/1 ARM doesn’t have to be paid off in 7 years. In fact, the mortgage lasts for 30 years. Instead, it’s the interest rate that stays the same during the first 7 years, after which it fluctuates.

This kind of misconception puts people off these types of loans when, in reality, they might work best for their needs.

Myth: Avoid Contact With the Seller’s Agent

Many people make the mistake of never contacting the seller’s agent, but by doing so they might rid themselves of an opportunity of a good deal.

The seller’s agent will help you understand what’s important to the seller. You could contact the agent, have a discussion, and then ask if you could make a personal plea to the seller. How else are you going to contact them if not through a third party first?

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A.S.

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