Whether this is your first rodeo (in terms of buying a home) or it’s been a long time since your last purchase, your expectations may be different from reality. Many buyers start the process with long held assumptions that are, in fact, myths. Below are some of the most common myths for real estate buyers, busted!
MYTH: Buyers Can Get a Better Deal if You Don’t Use an Agent
With the rise of listing websites, it is now easier than ever to find information needed to start your home search. It seems easy in theory; however, many underestimate the task and the real value an experienced agent can bring to the table. A buyer’s agent has a duty to put your interests above all else, provide you with knowledge about the current market conditions, and leverage her (or his) experience and insight to negotiate the best deal for you. Having an agent by your side that is honest, knowledgeable, dedicated, and well-organized will ensure the process is smooth, and that all your ducks are in a row at the end of the day.
MYTH: Buyers Only Need the Down Payment
The biggest upfront cost we think of when purchasing a home is the down payment, but you need to be prepared and set aside funds for related costs you may experience. For example, there are closing costs, taxes, attorney fees, credit reports, inspections, repairs, renovations, moving costs, and even new furnishings.
MYTH: Buyers Should Never Offer Full Price
Especially in a competitive market, submitting a lowball offer may be a turn off to the seller. It may not be the best way to initiate a negotiation to get the end result you’re hoping to achieve. If the buyer is serious about wanting to purchase the home and it is priced reasonably for the current market, the buyer should offer close-to or at the list price. Depending on the market and demand for the property, a buyer may even want to submit an offer exceeding the list price to secure the winning home bid! Work with an experienced and knowledgeable agent who understands the dynamics of the market and who will guide you in developing a winning strategy.
MYTH: Multiple Price Reductions Means the Owner is Desperate to Sell
A common misconception when it comes to pricing is that multiple price reductions means the seller is desperate to sell. In reality, price reductions are made to make the listing competitive and bring it in line with what the market will bear for comparable properties in today’s market, or to boost interest and traffic.
MYTH: Buying a Condo is the Same as Buying a Single Family Home
When purchasing a single family home compared to a condo, many buyers are not aware there are different procedures, rules, and regulations that you need to adhere to even after you’ve moved in! Condo living is multi-family living. You can’t just do whatever you want to do in a condo. If you are renovating, for example, you may need to get approvals from the condo board. Want to expand your family with a pet or rent out your place and use as an investment property instead of your own residence, you will need adhere to the policies.
Ready to buy or contemplating buying? Allow me to be your trusted advisor and help you get into your next home.