The 05 Most Common Real Estate Myths – Debunked!
When it comes to buying or selling a home, there is a ton of information on the internet swirling about it. But how much of the content is good and correct advice? Buying or selling a home is one of the biggest financial decisions to make and misinformation can put you in trouble. Here are the most common real estate myths – exposed!
Myth #1 - A House Has A ‘Pass’ Or ‘Fail’ Inspection Test
A house inspection test is not like a school exam with a pass or fail result. The objective of a house inspection is to assess the condition of the house and evaluate the good and the bad. It is only a comprehensive analysis taking all the positive and negative factors into equal consideration. The inspection test report will highlight any issues the house has including the interior, exterior and the conditions of the systems such as plumbing, electricity, the roof and other key aspects.
Myth #2 - All You Need Is Only A ‘Down Payment’
Today many property developers offer flexible payment plans for their investors after receiving the compulsory down payment. The percentage of the down payment varies for each house/ residential project and depends on the proportion of construction completion. But just because you need a lesser amount of money to reserve your property, that doesn’t mean that you should start looking for a new house with no adequate savings. As an investor/buyer, be ready with the full fund or at least the major portion of it and arrange a loan for the rest. Further, be prepared for any additional house expenses that may arise in the form of repairs and improvements.
Myth #3: All Real Estate Agents Are The Same!
This is one of the most common real estate myths. This often misleads buyers and sellers to make big mistakes when selecting the most suitable real estate agent to represent their interests. The truth is that every agent has different skills, varying experience and exposure levels and different personality traits for the job. For example, a real estate agent focused on buying residential apartment units for 2 years will not have the same expertise as a real estate agent who has 20 years of experience in selling luxury waterfront property. There is a significant difference between real estate agents who work with sellers and agents who work with buyers.
Myth #4: Leads Will Find Their Way To You
Posting the listing of the available residential units or houses on the company’s official website or personal page (if it’s your own) and thinking you’re done? Not exactly. Here’s the truth you need to know. Lead generation does not come that easy. You need to invest a significant amount of time and effort to capture the attention of a potential lead. It is important to use all the available resources such as social media, in-person meetings, traditional advertising and out-of-the-box ways to reach the target audience and drive sales conversion. By selecting the most suitable strategy and implementing it, you have a higher chance to find the lead and close a deal.
Myth #5: To Be Successful, Perfect Market Timing Is Only Needed
Many blindly believe that to find success in real estate investing, you only need to time the market as perfectly as possible. This is false! The truth is that no one can predict the market with perfection. However, comprehensive research can be done to have a good idea of what to reasonably expect in the future, and then invest accordingly. Since the residential real estate market continues to skyrocket with significant land value and property value appreciation, it will always be a profitable investment. Even during an economic crisis!
BOTTOM LINE
In the end, it all comes down to your own research and running the numbers with expert help or a reliable online tool. Find the most suitable investment strategy that will work for you and then get started!