Tall tales, superstitions and myths- Yes, real estate has them too!
Each week, our team gathers for training, community updates, real estate trends and general touch-base sessions. And, as you might expect, these meetings can become a bit mundane from time to time. Luckily for us, we have no shortage of interesting field stories to help liven up the mood. Recently, we broke the ice by exploring some of the “myths vs. truths” in the business. These are the statements clients will make to us “as fact” when “in fact” they are simply tales that have been circulated for many years.
The combination of newly acquainted clients, properties, lenders and closing agents often provides a wide variety of challenges. The differences keep us on our toes and often create positive opportunities for the buyers and sellers we represent. On the flipside, the differences can also help generate multiple misnomers regarding just what makes a sale successful.
Here are just a few gems we shared with one another:
“If you want your home to sell quickly, paint it yellow.” While I do understand yellow is a happy color, we haven’t found any real stats to back up this claim. Paint if you wish, but don’t put all your eggs in that colorful basket.
“Don’t use lenders or subcontractors your agent recommends because they get kickbacks.” Well, while we all like extra money, kickbacks are flat against the law! If one of our agents makes a recommendation, it’s likely because we know the person we recommend has a reputation of being a good fit for the job at hand. It’s always great to have a baseline recommendation.
“Agents must tell you about area crime, schools, and neighborhood makeup” Nope. In fact, the Fair Housing Act prohibits agents from any form of discrimination and therefore we are prohibited from discussing certain topics. You, as the buyer, have an obligation to perform your own investigation, if you so choose.
“Cash is King.” Yes, yes, yes. We all love a cash deal, but a low cash offer or cash offer with terms that don’t meet the seller’s requirements and terms, may not be your best deal.
“Wait until ‘season’ to sell your home.” This may be true in some locations, but not necessarily in our area. How many “seasonal buyers” are looking for a 2 story 4-bedroom home? Consider the type of property you are selling and its location. Additionally, today most buyers add an appraisal contingency to their offer, so if it didn’t appraise in December, it most likely won’t make it in January.
“Always price your home above it’s value so you have room to negotiate.” Yes, you can do that, but be prepared to wait. Statistics prove that homes priced correctly sell quicker. Homes get the most “looks” in the first weeks on the market, so while you’re waiting for someone to negotiate on your home, chances are you will be doing a series of price reductions and may have missed the market.
Perhaps I should leave you with this last nugget of folklore…just for fun:
When you move to a new house, always enter first with a loaf of bread and a new broom. Never bring an old broom into the house because you will sweep in all your previous negativity. A fresh house needs a fresh broom to sweep your troubles away. The loaf of bread ensures you will never go hungry.
Happy Father’s Day!