![home buying in wisconsin.jpg](https://cdn.steemitimages.com/DQmdK3kYBGGySFnM5g55qEnVsoRtmH1nGssdG2zPnGPoFnk/home%20buying%20in%20wisconsin.jpg) If you are preparing to buy a home near Green Bay, there are a few myths you need to be aware of first. Many hopeful home buyers are discouraged by inaccurate information that is leading them to be concerned that homeownership is out of reach. While it is no secret that interest rates are higher and there are more affordability challenges now than there were a few years ago, it is essential to have the right information as you develop your home buying strategy. As you embark on your house hunting journey or begin to save and plan to buy a home in Northeastern Wisconsin, watch out for these 3 myths.

1. You can't get a mortgage if you have student loans

If you are like many Americans who are in a position to consider buying a home, you might also have some student loans that are yet to be paid off. There is a common myth that you need to pay off your student loans before you can qualify for a mortgage, and it simply isn't true. Instead, mortgages are approved based on your DTI, or your debt-to-income ratio. The lender will look at the ratio of your monthly income to your monthly debt payments, and it doesn't really matter what the source of that debt is. The point is they want to see that adding a mortgage to your monthly debt payments is still going to be affordable. Instead of worrying about which type of debt you have, focus on boosting your credit score (ideally above 680) and keeping your DTI below the limit your lender wants to see (usually around 43%).

2. Buying a home is probably going to require a 20% down payment

For previous generations, a 20% down payment on a home was a given. It was generally required that you save up 20% of the value of the home before you could buy it. This process can seem absolutely impossible for today's home buyers, as it is extremely difficult for an average American household to save 20% of the value of the home in a reasonable time frame. The good news is, that 20% down payment is a myth. There are actually many mortgage options that require far less, especially if you are a first time buyer. Talk to your lender about what you might qualify for, and don't be surprised if you only have to put down 3% or even qualify for some down payment assistance.

3. Now is a bad time to buy because home prices are about to crash

With increasing interest rates, many concerned Americans are spreading the rumor that home prices are about to crash. If this is true, doesn't that mean it's a horrible time to buy a home? The answer to this myth is two-fold. First of all, we actually don't expect home prices to crash. While they may appreciate at a more typical rate than the rapid increase we have been watching in recent years, real estate experts agree that buying a home remains a lucrative long term investment. Secondly, even if home prices were to dip in the next couple of years, for many people this won't be a problem if they plan to stay in the home for 5 to 10 years. In either case, homeownership remains one of the best safeguards against inflation and tools to build generational wealth. If you want to learn more about homes for sale in Northeastern Wisconsin, talk to these local real estate experts who can help you navigate the challenges in the market.