Most Common Tales About Realtors

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What are The Most Common Myths About Realtors?

Buying or selling a house is not something most of us do every day. People don’t usually house-hop, they buy a house with the intent to start a life there. Despite the fact that most of us enter the world of real estate only rarely, we all think we know how it works, based on the experiences of friends and family members, stories we have heard and things we have read.

But for everything we believe we know about the industry, there are a number of myths that circulate about how real estate actually works. Buying into those can hurt your chances of buying or selling the right home at the right price.

The Internet has made much more information available to consumers, but not all the information is equal, or even accurate. Some people warn that you should read what is written about realtors online with a grain of salt. The danger with believing everything you hear or read is real estate myths can cost you money when it’s time to buy or sell a home. Here are some of the most common myths that can trip up buyers and sellers:

Set your home price higher than what you expect to get. Listing your home at too high a price may get you a lower price, actually. That’s because shoppers and their real estate agents often don’t even look at homes that are priced above market value. While you can always lower it later, buyers are highly suspicious of houses that have sat on the market for more than three weeks.

You can get a better deal as a buyer if you don’t use an agent. If the house is listed with a real estate agent, the total sales commission is built into the price. If the buyers don’t have an agent, the seller’s agent will receive the entire commission.

You can save money selling your home yourself. Some people do successfully sell homes on their own, but they need the skills to get the home listed online, market the home to prospective buyers, negotiate the contract and then deal with any issues that arise during the inspection or loan application phases. It’s not impossible to sell your home on your own for the same price you’d get with an agent, but it’s not easy.

You should renovate your kitchen and bathroom before you sell. If your kitchen and baths work, a major remodel and renovation could backfire. Prospective buyers may not share your taste. You’re better off adjusting your price accordingly.

Open houses sell properties. Homes rarely sell to buyers who visited them during an open house. Agents like open houses because it enables them to find additional customers who are looking to buy or sell homes.

Here is an excellent video on The Pros and Cons of Using a Real Estate Agent, as well as another useful article on Debunking the Top 10 Myths About Real Estate Agents.

One Comment on
  1. Another reason realtors get a bad rap, its that sellers think the realtor isn’t good at their job if the home isn’t selling. This is not always true.

    An overpriced home just doesn’t sell. Also, unless it is a cash sale, your home will have to appraise. The appraisal will be based off comparable sales of similar homes in your area that have recently sold. Your agent has no control over this. Also, an outdated home is not worth as much as an updated one.

    If your realtor is telling you to lower the price, consider it.

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