Debunking Five Mortgage Myths

Navigating the world of homebuying budgets and financing? We’re here to help. We talked with the experts at MTH Mortgage®, our preferred affiliated lender, to debunk five mortgage myths facing modern homebuyers.


Pre-qualification is the same as pre-approval.

The terms may seem interchangeable, but when a seller hears that you’re “pre-approved,” they know you’re a serious buyer. While pre-qualification is a more casual process, pre-approval means that your income and assets have been verified, your credit has been checked, and your lender is committed. Want a leg up during negotiations? Pre-approval is the way to go.

Get Pre-Approved Now*
Myth 1


You have to put 20% down.

20% down may have been the gold standard 40 years ago, but today's market is a different buying landscape. With FHA loans, many buyers are only required to have a 3.5% down payment, and many other lenders only require 5% or so. Use our mortgage calculators to see the impact different down payments can have.

See Mortgage Calculators
Myth 2


You need to have perfect credit.

Worried your credit score will hold you back? There are options. These days, many conventional loans only require a minimum credit score of 620 while FHA loans are available to homebuyers with scores in the mid-500s. You can also take advantage of our Financial Solutions Program to help improve your overall credit profile.

Get Program Details
Myth 3


Principal and interest are king.

Loan amount and interest rate are major factors when determining affordability, but many homebuyers overlook property taxes and insurance, both of which impact your bottom line. Thankfully, our affordability calculator takes both into account for you. Plus, our all-in monthly payments even factor in HOA dues, so there are no surprises.

See Affordability Calculator
Myth 4


Getting a mortgage has to be a headache.

Gone are the days of swimming in paperwork. MTH Mortgage® has simplified the home loan process so you can apply online in minutes, get your pre-approval faster and move into the home of your dreams sooner. Plus, 24/7 access means you don’t have to wait to take the next step in your home search.

Get Pre-Approved Now*
Myth 5

*By clicking this link you will be leaving the web site of Meritage Homes and entering the site of MTH Mortgage, LLC. The link is being provided for your convenience and no information contained in the linked site has been endorsed or approved by Meritage Homes and Meritage Homes is not responsible for the content of such site. “Pre-Approval” provided by MTH Mortgage, LLC, an Arizona limited liability company (“MTH Mortgage”), and is subject to the terms and conditions imposed by MTH Mortgage. Any financing arrangement and relationship shall be solely between Buyer and Buyer’s Lender (whether or not Buyer has selected MTH Mortgage), and in no event shall Meritage Homes have any responsibility, obligation, or liability for any “Pre-Approval” provided by MTH Mortgage or any other lender, nor for any other matters or disputes that arise in connection with Buyer’s financing arrangement with Buyer’s Lender. All costs and expenses associated with Buyer’s financing arrangement shall be Buyer’s responsibility and shall be payable by Buyer in addition to any closing costs payable by Buyer pursuant to its contract with Meritage Homes for a home.

Meritage hereby notifies you that Meritage has a business relationship with MTH Mortgage, LLC, an Arizona limited liability company (“MTH Mortgage”). Specifically, Meritage or one of its affiliates is a member of and owns a sixty-five percent (65%) ownership interest in MTH Mortgage. As a result of this relationship, Meritage’s referral of MTH Mortgage may provide Meritage with a financial or other benefit.