MYTH: Buyers should work with a specific real estate company because they have the best listings.

FALSE. In CT, real estate companies participate in Multiple Listing Services (MLS). Most CT homes for sale are entered into an MLS and are not exclusive for the listing company to sell. Other companies that also participate in that MLS will have access to these listings, even when not theirs. These participating companies can show these CT homes for sale to prospect buyers, and can help them buy these properties. Buyers can work with any real estate company that is a participant in the Multiple Listing Service and have access to all available listings. In fact, buyers should seek their own buyer agent and get their own representation.

MYTH: Buyers that don't have a real estate buyer agent will save the seller money in commission payments, who in turn can pass these savings along to the buyer in the form of a lower sale price.

FALSE. When a seller selects a real estate company to market their CT home for sale they agree to pay that broker a certain commission. Although commissions are not set by law and are negotiated for each listing, the commission is part of the listing contract, and for most part is fixed regardless of how the property sells. If another broker brings a buyer, a portion of the commission will be paid to the buyer agent. If the buyer has no representation, the whole commission will be paid to the listing broker. In reality, there are no savings to the seller one way or the other. In fact, buyers without representation are more likely to overpay for a property. A real estate broker acting as the buyer agent will provide the buyer with advice, including their professional opinion of the property's fair market value. They are also trained professionals that can better negotiate a deal on the buyer's behalf. Buyers are more likely to get a lower price when they have their own representation, their own buyer agent.

MYTH: Buyers with no credit or bad credit can't get a mortgage.

FALSE. Although credit history and credit score are important, mortgage companies look at several other factors before deciding whether or not to approve a mortgage. Other important factors include buyer's income and employment history, buyer's assets and liabilities, amount of down payment, etc. Most mortgage companies will look at the whole picture and take everything into account. Buyers with poor or no credit should consult a mortgage professional and consider all options available to them.

MYTH: Buyers must have at least 20% as down payment to get a mortgage.

FALSE. Although many mortgage products require a minimum of 20% as down payment, buyers can still get a mortgage if they have less to put down, even in today's tough credit market. This is particularly true for individuals with good credit who purchase primary homes. FHA loans for example only require 3.5% down. There are also special community lending programs available to individuals who serve their communities as teachers, police officers, fire fighters, medical personnel, etc. These programs often require very little down, and some programs even allow for zero down payment. There are also programs tailored to first-time buyers that require less money down. In short, even if you don't have 20% for a down payment, you can still qualify for a mortgage and become a home owner.