For many people, the American dream includes homeownership, yet countless Americans believe purchasing a home is beyond their reach. “But that’s often not the case,” says Michael Innis-Thompson, Head of Community Lending & Development and the Fair Lending Center of Excellence at TD Bank.
Plus, in today’s uncertain economic times, is buying a home even wise or possible right now? Michael answers, in the long run, yes: “While homeownership has different pros and cons for different people, a Federal Reserve study from 2020 found that, on average, a homeowner’s net worth is more than 40 times the average renter’s over time.”
According to Michael, many people simply assume they can’t qualify for a mortgage needed to buy a home. “In effect,” he says, “they self-select into the ‘not-me’ category, often based on untrue information.”
In his role at TD Bank, Michael has found five common, homebuying myths and counters them with the "real story."
Don’t Sell Yourself Short
Michael suggests that it is always beneficial to at least consider the possibility of home ownership and learn about what is available for your specific circumstances.
“The most important thing to know about purchasing a home is that there are plenty of options to suit a wide variety of borrowers," he concluded
For more on personal finance topics
To learn more about first-time homebuyer sentiment and how to break through misconceptions, read TD's most recent first-time homebuyer survey results here.
If you have more questions about other personal finance topics that matter to you, visit the Learning Center on TD Bank’s website.
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