Every October, haunted houses aren’t the only things scaring people. Real estate myths have been creeping through social media and open houses for years, and some of them just won’t die. 

Let’s put a few of these to rest. Below, we are separating fact from fiction on some of the most common myths I hear in today’s market. 

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

Truth: You don’t need a full 20% to buy a home. The real horror story is waiting too long because of bad info. 

According to the National Association of REALTORS®, the median down payment for all homebuyers in 2024 was 18% and just 9% for first-time buyers. Depending on the loan type, you could qualify with even less. 

Just keep in mind that buyers who put down less than 20% often pay private mortgage insurance (PMI).

Myth #2: Fall is a bad time to list.

Truth: Serious buyers don’t hibernate. Fall listings often get more attention because there’s less competition. 

Plus, homes look their best in autumn light and colorful landscapes. Some Octobers in Huntsville have been surprisingly strong for listings before the holidays slow things down.

Myth #3: You should always price high and negotiate down. 

Truth: Overpricing can kill your listing faster than your favorite horror movie villain. 

When you price above market value, you risk sitting too long and losing momentum. In Huntsville, homes priced right from the start tend to sell faster and attract stronger offers.

Myth #4: You should wait until rates drop to 5%. 

Truth: No one can time the market perfectly. Waiting for the “perfect” rate might cost you the perfect home. 

Rates haven’t hit the 5s in years, and no expert expects that soon unless something major happens. Focus on what you can control, which is finding a home that fits your budget and long-term plans.

Myth #5: You can’t buy a home with bad credit.

Truth: While a lower credit score makes it harder, it doesn’t make it impossible. 

Most conventional loans require a minimum score of around 620, and FHA loans can go as low as 500 with 10% down. We’ve seen buyers in Huntsville qualify for homes with less-than-perfect credit once they explored the right options.

Myth #6: Online home value estimates & agent pricing are equally accurate.

Truth: Algorithms can’t see your upgrades, view, or how well you’ve maintained your home. 

Online estimates can give a starting point, but a local agent can provide a pricing strategy based on real market data. In Huntsville, values often depend on neighborhood demand, competition with new construction, and whether a home is move-in-ready.

Myth #7: Renting is smarter than buying

Truth: This one really depends on your current situation. 

Renting can make sense short-term, and we’ve had many clients who opt to rent for strategic reasons. 

On the other hand, buying can help build long-term wealth.

The typical homeowner’s net worth is about $430,000, compared to less than $10,000 for renters. Even with today’s costs, homeownership remains one of the best long-term investments you can make in Huntsville.

Myth #8: The lowest interest rate is the best deal.

Truth: It’s not just about the rate; it’s about the full loan terms. 

The annual percentage rate (APR) includes fees and points that affect your true cost. Before choosing a lender, compare total costs and ask questions about what happens if rates change.

Myth #9: We’re headed for a 2008 housing crash repeat.

Truth: Today’s market looks nothing like 2008. Back then, subprime loans and risky lending caused a flood of foreclosures. 

Now, underwriting is stronger and nearly half of homeowners are equity-rich. In Huntsville, prices have adjusted but not collapsed, and supply is still tight enough to support stability.

Myth #10: Preapproval and prequalification are the same thing.

Truth: They are not.

Prequalification is a quick estimate based on what you share, often without documents. It tells you a rough price range, not what a lender will actually approve. 

Preapproval requires a lender to verify income, assets, debts, and credit, then run your file through underwriting to produce a stronger letter. In Huntsville, sellers and listing agents often expect a preapproval with offers, which can improve your odds in multiple-offer situations.

What to know:

• Prequalification: verbal or online questionnaire, no verified docs, ballpark number.

• Preapproval: documents reviewed, credit pulled, automated underwriting, clearer budget and terms.

• Timeline: with local lenders, preapproval typically takes anywhere from 24 hours to a few days once documents are submitted.

• Bring these: last [2] pay stubs, last [2] W-2s or [2] years of tax returns if self-employed, [2] months of bank statements, government ID, and details on any debts.

• Pro tip for Huntsville: some listings require proof of funds or a preapproval to schedule a showing. Start early so you can tour and offer without delays.

Myth #11: Student loan debt nixes qualifying for a mortgage.

Truth: Having student loans doesn’t automatically disqualify you from buying a home. It just factors into your overall debt-to-income ratio, the same way a car payment or credit card balance would.

A loan officer can help you understand how your payments factor into qualification and what steps you can take to strengthen your application.

In Huntsville, we’ve worked with plenty of buyers who have student loans and still qualify for a mortgage. The key is understanding how that debt affects your ratios and getting preapproved early so you know exactly where you stand.

Bonus Myth: You don’t need an agent in a hot market.

Truth: Even experienced buyers and sellers benefit from professional guidance. From pricing to negotiations to legal details, an agent’s expertise can save you time, stress, and money. 

Think of your agent as your compass and flashlight in a haunted corn maze, without the jump scares. 

Real estate myths make great stories, but they don’t lead to great results. If you’ve been holding back because of something you heard at a dinner party or saw on social media, it might be time to fact-check your fears.

Want to know what’s really happening in Huntsville? Let’s talk about your options.

If you’re preparing to relocate to Huntsville, Alabama, for Space Command or a defense industry position, you’re in good company. Thousands of professionals are making the move from Colorado Springs and other aerospace hubs and they’re finding that Huntsville combines cutting-edge opportunity with Southern comfort.

Before you pack your boxes, here are seven things to know that will help your relocation go smoothly.

1. The Housing Market Moves Fast but Offers Great Value
Huntsville’s real estate market is strong but steady. Homes typically stay on the market for fewer days than the national average, so having an experienced local Realtor like Leah Miller and The Miller Team can make all the difference. Compared to Colorado Springs, you’ll get more home for your money, lower property taxes, and a wide range of neighborhood options. 📘 Download our free Huntsville Relocation Guide

2. Redstone Arsenal and Space Command Are Centrally Located
Most of Huntsville’s major employers including NASA, Boeing, and Space Command are within a short drive of key neighborhoods like Hampton Cove, Hays Farm, and Providence. Commutes average under 25 minutes, and traffic is minimal compared to Colorado. 📘 Download our free Huntsville Relocation Guide

3. Schools and Education Are Top-Tier
Huntsville City, Madison City, and Madison County school systems are among Alabama’s best. You’ll find exceptional STEM programs, magnet schools, and private options plus higher education through UAH and Calhoun Community College. 📘 Download our free Huntsville Relocation Guide

4. The Weather Will Surprise You (In a Good Way)
Trade the dry mountain air for mild winters and long springs. Huntsville’s climate means you can hike, kayak, and golf almost year-round. Summers are warm but perfect for lake days and weekend getaways. 📘 Download our free Huntsville Relocation Guide

5. The Community Is Exceptionally Welcoming
Huntsville’s mix of locals and transplants makes it easy to meet people. Between family events, local festivals, and The Miller Team’s own client gatherings, new residents quickly feel connected. 📘 Download our free Huntsville Relocation Guide

6. There’s Always Something to Do
From concerts at The Orion Amphitheater to exploring Monte Sano trails or visiting local breweries, Huntsville offers a lifestyle that’s active, creative, and surprisingly cosmopolitan. 📘 Download our free Huntsville Relocation Guide

7. Local Experts Make All the Difference
A move across states can feel overwhelming, but The Miller Team specializes in helping Space Command families settle in smoothly. They handle everything from virtual home tours and vendor coordination to connecting you with trusted local resources.

📘 Download our free Huntsville Relocation Guide

Relocating to Huntsville isn’t just about starting a new job, it’s about discovering a community that welcomes innovation, celebrates growth, and feels like home from the start.

If your home didn’t sell the first time, or you’re thinking about listing soon, there’s one question that can make or break your entire experience:

How do you price your home?

Not “what’s it worth” on Zillow. Not “what you need to net” to buy your next home. Not even “what the neighbor’s house sold for.”

We’re talking about a real pricing strategy, one based on data, buyer behavior, and your goals.

Unfortunately, a lot of agents don’t have one. 

Instead, they lean into the number you want to hear, list the property, and hope for the best. But hope isn’t a strategy. And it’s showing in the data.

A Rise in Delistings

According to Realtor.com, delistings surged 47% in May compared to last year. That means homeowners across the country are pulling their homes off the market in frustration, many of them after weeks of no showings, no offers, or disappointing price reductions.

Even with inventory on the rise and more buyers getting off the sidelines, sellers are finding themselves stuck with outdated price expectations, while the market has already moved on.

If you’ve ever thought, “I’ll just wait for the right buyer,” or “Maybe I should try again next season,” you’re not alone.

But before you list (or relist) your home, there’s one thing you need to understand:

You need a plan.

And that plan starts with understanding the three pricing strategies every seller should know.

1. Aspirational Pricing

This strategy is exactly what it sounds like: pricing high and hoping the right buyer comes along. It’s a bold move that only works in certain conditions, usually when there are no solid comparable sales (comps) or demand is red-hot.

When it might make sense:

• You’re in a one-of-a-kind property with no true comps

• You’re not in a rush to sell

• You’re testing the market with a Plan B in place

Here’s the risk:

Aspirational pricing without a strong marketing strategy can backfire. It shrinks your buyer pool and can lead to more days on market and price reductions.

2. Comp-Based Pricing

This is the most common strategy. It’s based on recent sales of similar homes, also known as comps. These are also what an appraiser would use to determine value. It protects you from overpricing and helps your home show up in buyer searches where it matters most.

When it makes sense:

• You’re in a neighborhood with recent, relevant sales

• You want to attract serious buyers quickly

• You’re motivated to sell within a specific timeline

What most sellers don’t realize:

There’s still room for flexibility. In fact, smart agents break comp-based pricing into sub-strategies:

• High side of comps: Maximize value if demand is strong

• Mid-range comps: Balance visibility and price

• Low side of comps: Win attention in a crowded market

3. Event-Like Pricing

This strategy is designed to create urgency and drive competition by pricing just below comps, almost like a flash sale for real estate. The goal is to attract as many buyers as possible, fast.

When it makes sense:

• You’re listing in a hot season (like spring)

• You want to sell quickly or spark a bidding war

• You’re targeting first-time buyers or investors

Why it works:

Buyers are drawn to deals. And when they see value, they act. Homes priced with this strategy often generate more tours, more offers, and ultimately, a stronger negotiation position.

Don’t List Without a Plan

A pricing strategy isn’t just a number. It’s a plan.

It should be paired with:

• A marketing strategy (not just photos and MLS)

• A timeline strategy (based on your move-out goals)

• A Plan B (in case the market shifts or your plans change)

The best decisions come from having all the right information upfront. If you’re thinking about selling, make sure your strategy is built around your goals, not guesses.

Tax season. Just the words can send shivers down your spine. But if you’re a homeowner, there’s a silver lining: homeowner tax deductions in 2025 can lead to potential savings! Read on to learn about home-related tax deductions that may help you save.

You’ve probably heard that you can deduct the interest you pay on your mortgage — but did you know there are many other ways homeowners can reduce their tax burden?

Before you start your return, read this post for common home-related tax deductions, eligibility requirements, and tips on how to maximize your savings.

Home-Related Tax Savings: The Basics

Before we get into the details, it’s important to define some important terms to set the stage.

Tax Deductions vs. Tax Credits

Most tax savings opportunities for homeowners come in the form of tax deductions. Deductions work by reducing your taxable income — essentially, the government allows you to subtract certain expenses from your total income before calculating how much you owe in taxes. This means a lower taxable income and, ultimately, a lower tax bill. For example, if you earn $50,000 and claim tax deductions worth $5,000, you will only pay taxes on $45,000.

Tax credits, on the other hand, directly reduce your tax bill, rather than your taxable income. That means that if you owe $10,000 in taxes and claim a tax credit worth $2,000, your tax bill will be reduced to $8,000.

Pro Tip: Meticulous record-keeping is crucial. Keep detailed records of all potentially eligible expenses. This will make tax time much smoother and ensure you don’t miss out on any deductions.

Itemized Deductions vs. Standard Deduction

To understand what deductions apply to your situation, it’s important to know the difference between itemized deductions and the standard deduction. The standard deduction is a fixed dollar amount that you can subtract from your adjusted gross income (AGI) regardless of your actual expenses. Itemized deductions, on the other hand, are specific expenses that you can deduct, such as mortgage interest, property taxes, and charitable contributions.

You’ll need to choose whether to itemize or take the standard deduction. Generally, you should itemize if your total itemized deductions exceed the standard deduction. Most home-related deductions are only applicable if you choose to itemize.

2025 Standard Deduction Amounts

• Single and Married Filing Separately: $15,000
• Head of Household: $22,500
• Married Filing Jointly: $30,000¹

Source: IRS

Key Home-Related Tax Deductions and Credits

If you do choose to itemize your taxes, common tax deductions and credits available to homeowners include:

Mortgage Interest Deduction

No one likes to pay mortgage interest, but the good news is that you can deduct interest used to buy or build your primary residence or a second home. However, there are certain limitations that you need to be aware of.²

Mortgage size: If you file your taxes single or married filing jointly, you can deduct interest paid on the first $750,000 of mortgage debt³ for your primary residence or second home. If you are married but choose to file separately, that limit drops to the first $375,000 (for each partner).

Requirements:

• The mortgage interest deduction only applies if your home is collateral for the loan (which is standard).
• To qualify as a primary home, your property must have sleeping, cooking, and toilet facilities.
• If you are deducting mortgage interest on a second home, you don’t need to use the home during the year; however, if you rent it out, you must spend at least 14 days or more than 10% of the days you rented it out (whichever is longer).

So, how do you calculate how much mortgage interest you’ve paid? The amount of interest you pay each year will vary, even if your interest rate is fixed — that’s because mortgage amortization³ means that you pay more interest earlier in the mortgage’s term, and more principal closer to the end. Each year, your lender will send you (and the IRS) a copy of Form 1098, which shows how much you paid in interest.⁴

For example, let’s say you are a married homeowner filing jointly with a mortgage for $400,000. If your Form 1098 shows that you paid $25,000 in mortgage interest in 2025, you could deduct the full $25,000 from your 2025 household income.

Real Estate Taxes (Property Taxes)

You can deduct state and local real estate taxes (property taxes) you pay on your primary residence or second home. However, it’s crucial to understand what qualifies. Only property taxes imposed for “general public welfare” are deductible⁵—if your town imposes a special assessment for a project that directly improves your property value, like a sewer line, that is not deductible. Furthermore, fees for local services, such as trash collection or sewer maintenance, are not deductible, even though your town may list them on the same bill as your property taxes.

There’s also a limit: the 2017 Tax Cuts and Jobs Act imposed a $10,000 cap on the total amount of state and local taxes (SALT)⁶ you can deduct. This includes state and local income tax (or sales tax) as well as property taxes.

Finally, be aware that the amount you deduct must match the amount actually paid to the tax authority.⁷ This might differ from what you put into escrow if you pay property taxes through your mortgage lender. Typically, the amount your lender paid to your tax authority is listed on Form 1098.

Home Equity Loan Interest

You can deduct the interest paid on home equity loans or home equity lines of credit, but with a significant caveat. Since 2017, that interest is only deductible if the loan proceeds are used to buy, build, or substantially improve³ your primary residence or second home, and the loan is secured by the home.

If you use the home equity loan for other purposes, such as a vacation, debt consolidation, or purchasing a car, the interest is generally not deductible.  If you use part of the loan or line of credit for eligible purchases, and part for non-eligible purchases, only interest incurred on the portion used for eligible spending is deductible.

Loan interest is also not deductible if the funds are used for home improvement projects or repairs that do not “substantially improve” your home. Smaller projects, like repainting or new cabinets, likely do not qualify. However, projects like building an addition, a full kitchen remodel, or installing a new roof should qualify as substantial improvements.⁸

It’s also important to note that home equity loan and HELOC interest rate deductions are subject to the same upper limits³ as mortgages (and are added together with your mortgage for calculation purposes). For example, if you have a $500,000 mortgage and a $300,000 home equity line of credit—which together exceed the $750,000 limit for a married couple—you would only be able to deduct interest paid on the first $750,000 of those combined loans.

Home Improvement Expenses

You can’t usually deduct home improvement expenses directly.⁹ However, the money you spend on capital improvements (improvements that increase your home’s value) can help reduce your tax bill later. These expenses are added to your home’s “cost basis,”¹⁰ which reduces your capital gains tax when you eventually sell the house. Think of it this way: by keeping records of your home improvements, you’re essentially increasing the “price” you’re considered to have paid for your home, thus lowering your profit when you sell.

It’s important to note that not all projects qualify as capital improvement. Basic repairs and updates likely won’t qualify, while major additions and landscaping likely will (the considerations are the same as those used to determine whether home equity loan interest is deductible).

Beyond capital improvement, there are a few specific categories of home improvement that are deductible, including work on home offices (which is subject to specific limitations) and certain modifications for medical/accessibility reasons.¹¹

Energy-Efficient and Clean Energy Tax Credits

Certain energy-efficient home improvements can qualify you for valuable tax credits. Unlike deductions, which reduce your taxable income, tax credits directly reduce your tax bill, making them even more beneficial.

For qualifying energy efficiency expenses in the 2024 tax year¹², homeowners can claim up to 30% of qualified expenses on their federal tax return, with a maximum credit of $3,200.¹³ However, some qualifying expenses, like new exterior doors and windows, come with their own maximum credit limits, so it’s essential to check the specific rules.

Another option is the Residential Clean Energy Tax Credit, which offers a 30% credit for the cost of installing renewable energy systems, such as solar panels, on your primary residence or a second home that you use part-time and don’t rent out.¹³ Many states also offer their own tax deductions, rebates, or credits related to energy efficiency and clean energy, so be sure to investigate what’s available in your state.

Selling Your Home and Taxes

When you sell your home, the difference between the selling price and what you originally paid for it (plus any major improvements) is called your capital gain.  Think of it as your profit from the sale.  Let’s walk through a simple example:

Imagine you bought your home for $200,000. Over the years, you invested in some significant upgrades, like a kitchen remodel ($30,000), a new roof ($15,000), and landscaping ($5,000). These are called “capital improvements,” and they increase your home’s “cost basis”—essentially, what the IRS considers you to have invested in the property. In this case, your adjusted cost basis would be $250,000 ($200,000 original price + $50,000 improvements).

Now, let’s say you sell your home for $350,000. Your capital gain would be $100,000 ($350,000 selling price – $250,000 adjusted cost basis).

Capital Gains Exclusion

The good news is that the IRS allows you to exclude a significant portion of your capital gain from taxation!¹⁴  If you’re single, you can exclude up to $250,000, and if you’re married filing jointly, you can exclude up to $500,000.  To qualify for this exclusion, you need to have owned and used the home as your primary residence for at least two out of the five years before the sale.  This is a key factor to consider when deciding how long you plan to live in a home.

Essentially, this exclusion means that, in many cases, homeowners won’t owe any capital gains tax when they sell their primary residence.  It’s a valuable tax benefit that can significantly impact your finances.  Keep good records of your purchase price and any capital improvements you make to ensure you can accurately calculate your capital gain and take full advantage of the exclusion when you sell.

Record-Keeping Tips for Homeowners

Organized records are essential for taking advantage of tax deductions and credits. Keep all relevant documents, such as mortgage statements, property tax bills, and receipts for home improvements, readily accessible.¹⁵ It’s wise to keep both physical and digital copies (scan and save everything!). Store physical copies securely, perhaps in a safe deposit box. Keep all home-related records for as long as you own the home, plus at least three years after you file your tax returns for the year of the sale.

Conclusion

Homeownership offers numerous opportunities to save on taxes. From mortgage interest and property taxes to energy-efficient upgrades and capital gains exclusions, understanding these deductions and credits can significantly reduce your tax burden. Remember, this information is for general guidance only. Consulting with a qualified tax professional is invaluable for personalized advice.

Have questions about real estate or need a referral to a trusted tax advisor? Contact us today!

Note: This information is accurate as of February 2025 and is intended for general guidance only. Tax regulations are subject to change.

Sources:

1. IRS
2. Nerdwallet
3. IRS
4. IRS
5. IRS
6. IRS
7. TurboTax
8. Bankrate
9. USNews
10. IRS
11. NOLO
12. USNews
13. IRS
14. Bankrate
15. NOLO