Buying your first home is exciting, and noisy. Friends, TikTok, even well-meaning relatives will hand you “rules” that aren’t really rules. Let’s clear the air with five stubborn myths I hear all the time (plus what to do instead).

Myth #1: “You need 20% down to buy a home.”

Reality: Plenty of solid loans allow 3%–3.5% down (and even 0% for VA/USDA-eligible buyers). Conventional options like Fannie Mae HomeReady and Freddie Mac Home Possible/HomeOne start at 3% down; FHA is 3.5%. On top of that, many state and local down-payment assistance (DPA) programs can cover part of your down payment or closing costs. Also, many programs define “first-time buyer” as someone who hasn’t owned a home in three years, so you may qualify again sooner than you think.

What to do instead

• Ask your lender about 3% down conventional and 3.5% down FHA options.
• Check eligibility for local DPA grants/forgivable seconds; they exist in most states and cities.

Myth #2: “Shopping multiple lenders will tank my credit, so I should stick to one quote.”

Reality: Credit models treat rate-shopping as smart behavior. Multiple mortgage inquiries within a single window (typically 14–45 days, depending on model) count as one inquiry, and checking your own credit report does not hurt your score. [link]

What to do instead

• Gather 3+ quotes within a two-week window to be safe across scoring models.
• Pull your own reports first to fix errors with no score impact. [link]

Myth #3: “PMI is forever and it’s just throwing money away.”

Reality: Private Mortgage Insurance (PMI) enables lower-down-payment loans. On conventional mortgages, PMI is removable - you can request cancellation at 80% LTV and it automatically terminates at 78% under the Homeowners Protection Act (assuming you’re current). FHA mortgage insurance follows different rules and may require refinancing to remove. [link]

What to do instead

• Ask your lender to map your PMI-removal date at application.
• Consider extra principal payments to hit 80% LTV sooner.

Myth #4: “First-time buyer programs are only for very low-income households and are impossible to qualify for.”

Reality: Many programs target low-to-moderate income and vary by area; qualification is often more attainable than people think. And remember the HUD ‘first-time buyer’ rule - no ownership in the last 3 years, which helps many repeat renters qualify again.

What to do instead

• Search your state and county housing agencies for DPA, closing-cost credits, and tax credits.
• Complete homebuyer education - some programs (e.g., HomeReady) require it and may even reduce costs. [link]

Myth #5: “To win in a competitive market, I should waive the home inspection.”

Reality: Inspections protect you from expensive surprises and can strengthen negotiations. Yes, some buyers waive contingencies, but it’s not the norm, and it carries risk. Industry data shows a meaningful minority waive inspections, yet guidance remains clear: inspections help you discover defects, negotiate repairs/credits, or walk away if needed.

What to do instead

• Consider a shorter inspection window or informational inspection rather than waiving outright.
• In Tahoe, add specialty checks (roof, sewer, chimney, radon, wildfire defensible-space) given mountain conditions.

Quick Recap 

• 20% down is optional; legit loans start at 3–3.5% with possible DPA help.
• Rate-shop freely; mortgage pulls within 14–45 days count as one.
• PMI is temporary on conventional loans - plan your 80% LTV milestone.
• Programs aren’t just for very low income - check your eligibility (and the 3-year rule).
• Inspections protect you - don’t buy blind.