The saying goes, “The more you know, the more you know you don’t know” and that is probably more true for the real estate than anything else.
Unfortunately, many people hesitate to get involved with home-buying or selling, because they have been given some misinformation.
The real estate market has a lot of misconceptions that guide people in their decisions but, that could mean you are missing out!
Make sure that you know the truth about the real estate market before deciding that it isn’t for you.
Myth 1: With all of the information available online – you don’t even need a real estate agent anymore!
The fact is, working with a real estate agent doesn’t cost you a thing unless they do their job! So, why not have a highly-qualified and experienced professional on your team when you are navigating the real estate market?
It used the be, that you needed a real estate agent helping you because they had access to all of the information. However, nowadays all of the information is available online, leaving the only reason to work with a real estate agent being: protection.
You buy a home in your lifetime once – maybe twice. This is the most expensive and infrequent transaction you will ever make.
The process is complex and there are rules and laws. Having an experienced and qualified professional as your representative can help to protect you from being taken advantage of … and losing a lot of money.
Myth 2: You can’t buy a home unless you have at least 20 percent saved up as a down payment
Our country is riddled with millennials, who are burdened with huge student loans and are convinced they will never own a home.
While there was a time not too long ago, during the credit and housing crisis, when it was very difficult to get a mortgage without a serious down payment, these days it is much easier.
In fact, there are loans out there that only require three percent down to secure the money you need to buy your new home.
No. It’s not a lock that you’e going to get one of those low-down loans. And, it is still true that you need to have great credit and verifiable income. However, you definitely don’t need 20 percent down to buy a home.
Myth 3: My home is only worth what it was appraised at
There are many factors that determine the market value of a home – one of them being what a buyer is willing and able to pay!
If you’re looking for a bank-refinance of your home then, yes, you’ll be relying on the most recent appraisal data. However, if you are looking to put your home on the market, talk with a qualified real estate agent about the market value of your home before you decide not to list it.
Myth 4: The best time to sell your home is during the Spring
In the past, when the market was full of families looking for a home before the school season started up again, it was true that the spring season was ripe with possibility for selling a home.
However, the real estate market has changed completely, and the buyer personas are very diverse. You’ve got millennials looking for a one bedroom condo all the way to baby boomers and downsizers looking for a two bedroom house.
And, they are looking all year around! There is no one-size fits all in real estate anymore. As a seller, you need to work with a professional real estate agent who knows the market and knows how to put your home up for sale so that it appeals to a variety of buyers.
Myth 5: Open houses don’t sell homes
Nowadays, with so many images and 360 videos available online, people feel like an open house is redundant and no longer necessary.
The truth is, not all buyers are strictly looking for homes via the internet. Some folks are still looking for the traditional home buying process and they want to physically walk through the space before they commit.
There is definitely still a purpose for open houses and they can make are real impact on buyers.
Make sure to stay “in the know” about the current real estate market. So much has changed over the last decade that what you think you know might be all that you don’t know.