What consumers don’t know about mortgages can hurt them
07/01/2016 | Author: Editorial Staff
When FannieMae recently surveyed consumers about key mortgage qualification criteria, only about half could provide answers. While mortgage rates are low and aspirations of buying a home remain strong, homeownership levels remain low, and a mortgage qualification knowledge gap may be contributing.
Consumers in general and, most importantly, renters who are looking to buy a home in the next five years showed a lack of knowledge about minimum mortgage qualification requirements. Of renters looking to buy within five years, 30% did not know what their minimum required downpayment amount would be, and 45% did not know minimum credit-score requirements. For those who did offer answers to the questions, a significant number overestimated the required downpayment and credit numbers.
Of those surveyed by FannieMae, 50% listed REALTORS® among their three most influential sources of mortgage advice, highlighting the benefit of working with a REALTOR®.
The material provided here is for informational purposes only and is not intended and should not be considered as legal advice for your particular matter. You should contact your attorney to obtain advice with respect to any particular issue or problem. Applicability of the legal principles discussed in this material may differ substantially in individual situations.
While the Texas Association of REALTORS® has used reasonable efforts in collecting and preparing materials included here, due to the rapidly changing nature of the real estate marketplace and the law, and our reliance on information provided by outside sources, the Texas Association of REALTORS® makes no representation, warranty, or guarantee of the accuracy or reliability of any information provided here or elsewhere on texasrealestate.com. Any legal or other information found here, on texasrealestate.com, or at other sites to which we link, should be verified before it is relied upon.