7 Real Estate Myths & Misconceptions
A myth can be entertaining to believe at times, but it can also weaken your judgment and obstruct your ability to achieve your objectives.
As with every major industry, misconceptions abound in the real estate sector. This is not news to real estate professionals.
In this post, we dispel a few real estate myths that have been pushed over the years.
1. Real estate myth: real estate agents want you to buy a house as soon as possible
This is one real estate myth to do away with in 2022. It is the sincere desire of real estate agents that you purchase a property. But not just any property. We want you to find a home that matches and surpasses your checklist. We want you to be satisfied with your purchase.
Why wouldn’t we want you to be satisfied? We earn referrals from our happy clients. Dissatisfied clients are often vocal about it and could scare off potential clients. So, our aim is not that you purchase a home as soon as possible, but that you purchase a home that you are satisfied with.
Related: 15 Common Real Estate Misconceptions
2. Real estate myth: purchasing a home necessitates a large sum of money
While it’s always a good idea to have some cash on hand in case of an emergency or for homebuying expenses, you don’t need a lot of cash to buy a house.
A down payment of as little as 3.5 percent of the home’s purchase price is possible with an FHA loan. A down payment of 5-10% of the home’s buying price is often required for conventional mortgages.
This is one real estate myth to do away with in 2022.
Learn more: Make Money In Real Estate With 6 Proven Ways
3. Real estate myth: the mortgage with the lowest payment is the best
The loan with the smallest monthly payment isn’t necessarily the best option. Select a mortgage that meets your financial requirements.
A shorter loan term means larger payments, but a lower interest rate means you’ll pay less interest during the loan’s life. Examine a few possibilities and choose which is the best fit for you.
This is one real estate myth to do away with in 2022.
4. Real estate myth: find a house you like before getting preapproved
Hold off on looking for a property until you’ve been preapproved for a mortgage. Obtaining mortgage preapproval ensures that you will be able to receive a loan and specifies the amount you can spend.
Make sure you’re preapproved for a loan rather than prequalified. Preapproval is a far more thorough and precise procedure than prequalification.
This is one real estate myth to do away with in 2022.
5. Real estate myth: you need to have an “open house” to sell your house
An open house’s success rate is influenced by your location. However, holding open houses isn’t required to sell your home.
If you decide not to hold an open house, you must ensure that your family is ready for a last-minute showing.
Buyers frequently want to see potential houses as soon as possible, and sellers are expected to accommodate the buyer’s needs.
This is one real estate myth to do away with in 2022.
6. Real estate myth: you don’t need a real estate agent to sell your home
Some homeowners try to sell their properties without the help of a real estate agent. This decision could end up costing you money and lengthening the time it takes to sell your house.
Your home will be added to the MLS database of Richmond homes for sale once you engage a real estate agent. This helps it to reach out to a larger number of potential buyers.
Agents also know how to negotiate a reasonable price and ensure that all necessary prep work is accomplished prior to the closing date.
This is one real estate myth to do away with in 2022.
7. Real estate myth: set a high listing price from the start
A home’s appeal to potential purchasers decreases the longer it stays on the market. If you can always drop the price if it doesn’t sell, it’s a poor idea to offer your home at a high price.
Buyers often assume that properties that have been on the market for a long time have something “wrong” with them. They’re not inclined to pay a price that appears to be higher than the home’s fair market value.
This is one real estate myth to do away with in 2022.
Bottom line
These real estate myths and misconceptions are common among homeowners and potential home buyers. The truth is, they are all a fad. Always ask an expert for advice when in doubt. Trust a real estate agent to help you meet your home purchasing needs.
Got questions? Call Ashley Lyon +1 (302) 216-5588.
