Here’s the truth behind four common real estate myths most people believe.
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There are a lot of real estate myths floating around out there that you shouldn’t believe. Here are four major myths and the truth behind them.
1. Real estate agents are paid a salary and keep all the commission from each deal.
I wish this were true, but it’s not. For 99% of us agents, our salary is commission-based. We don’t get all of the commission from a real estate transaction, either. It actually gets split four ways—the listing agent splits it with the buyer’s agent, and each of those agents split their remaining half with their brokerages.
2. A home either “passes” or “fails” a home inspection.
The home inspector’s job is to see what’s wrong with the house and then report any issues back to the buyer—not give it a “pass” or “fail” grade. After they do this, the buyer can either negotiate for certain repairs to be made, negotiate a lower price for the home, or walk away from the deal.
3. Zillow says, therefore it is.
Zillow is a fantastic website for consumers and I like it very much, but their Zestimates, or the algorithm they use for home valuations, are flawed and can be off by as much as 30%. If you’d like a far more accurate valuation of your home, just call me and I’d be happy to take a look at it.
4. All agents are the same.
They’re not. For the most part, agents spend their own money marketing homes—the brokerages pay for very little. This means it’s up to them as far as how much demand they can create for your home and whether they can help you sell it for a high price. The market is great, and almost anyone can sell a house right now, but you might be leaving money on the table by not working with a high-powered agent such as myself who has a high-powered marketing program.
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Contrary to popular belief, not all agents are the same.
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If you’d like to read the original Inman article that inspired this topic and read about more real estate myths consumers commonly believe, click here.
As always, if you have any questions or real estate needs, don’t hesitate to reach out to me. I’d love to help you.