Buyer myth No. 2:   The sellers today are desperate. Corcoran says: “Most aren’t. Always ask why the sellers are selling. It’s the key to finding how motivated and anxious they are. I’m being transferred to Dallas is a very different answer than -We’d like to find something bigger. The first homeowner is hot to trot.” Corcoran’s point is well taken, as many Tampa sellers would like to sell and move up to a bigger homes to take advantage of this buying opportunity, but they do not “need” to sell.

  Buyer myth No. 3:  You can’t buy a home today with less than 20 percent down. Corcoran says: “FHA loans require only 3.5 percent down, and you can even ask the seller to pay the closing costs.” This is done routinely, where a Tampa home seller might be be asked to contribute up to 6% of the purchase price towards a buyer’s closing costs and prepaids: hence buyers can still purchase a home with very little down.

  Buyer myth No. 4:  You need good credit to get a good loan. Corcoran maintains: “Once again, the FHA to the rescue! They’re happy to lend money to buyers with bad credit.” Not so much. While FHA requirements have traditionally been less stringent, they have been requiring more documentation and are implementing higher standards. Team Bohannon’s best advice: talk to a recognizable lending institution and obtain a Pre-Approval letter to make sure you understand the true costs and availability of loans because the programs have been changing rapidly.

  Buyer myth No. 5:  You shouldn’t buy before prices have bottomed. Corcoran says: “You can’t sharpshoot the real estate market. Once you identify the “bottom,” prices have already moved up.” Once again, we agree – it is impossible to time the market. We will know only when prices have bottomed out 6 months after the turn happens, and by that time interest rate moves may be more important than prices.