Post written by
Forbes Real Estate Council
Successful executives in the real estate industry from Forbes Real Estate Council share firsthand tips & insights.
There are many misconceptions when it comes to real estate. Some of the basic myths and fables can sway buyers and sellers without any valid cause. A real estate agent’s job is to inform clients and help them understand what is typical of a home transaction and what is simply untrue. Many homeowners are still unaware of things they can do that would help the process run more smoothly, from updating a property to accommodating showings for potential buyers and more.
That’s why nine members of Forbes Real Estate Council share below some of the things that home sellers are constantly surprised by, that they wish there were more common knowledge. Here is what they had to say:
1. Home Update Costs
Home renovation has become almost a byproduct of the of the home purchase process. Most folks are intimidated by the whole concept of remodeling, given the lack of visibility to costs, the pain of hiring the right people and the time and disruption it will cause. That issue can be a deal breaker for many buyers, and I think having more transparency to that process can help. – Raf Howery, Kukun and PropenCity
2. Everyone Has The Cutest Baby
A homeowner’s perception of their home’s value is almost always skewed. This is no shock — after all, everyone’s baby is the cutest, and per Facebook, everyone has the Perfect Life. So why shouldn’t their home be worth more than every other home that’s just like it? Actual value is based on market forces: supply and demand. What you spent, how you decorated or what you need to net has nothing to do with it. – Thomas McCormack, Resources Real Estate
3. That Sentimental Feeling
Sellers who have lived in the home for many years develop a sentimental attachment. As a result, they often underestimate the need for, and cost of, repairs. This can lead them to have a price expectation that is far higher than the actual value of the home. Sellers often have to learn that it is the market that determines the best price for the property — not opinion or sentimental feelings. – Jeremy Brandt, We Buy Houses®
4. County Appraisal District’s Value
Most sellers seem to be amazed when I pull up their house on the county appraisal district’s website, and see a different square footage than what the seller remembered when purchasing their home. A sales price is determined by multiplying the area sold by the price per square foot, so having an accurate square footage just may put more money in a seller’s pocket! – Angela Yaun, Day Realty Group