Real Estate Myths vs Facts
April 17, 2023
Are you thinking about buying or selling a home? There are a lot of real estate myths vs facts out there and that can make the process seem daunting. But fear not friends! We’re here to help separate fact from fiction and give you the real deal on real estate.
Let’s jump in to this edition of real estate myths vs facts!
A myth can be defined as an invented story, idea, or concept. Just because you’ve read something on the internet, or a friend’s boyfriend’s uncle’s coworker’s neighbor told you something about real estate – doesn’t mean it’s true!
Below, we’re going to dig into four common real estate “myths” that we’re here to debunk!
MYTH #1: All REALTORS® are the same →
This couldn’t be further from the truth! The reality is there can be significant differences. Every agent has different skills, competencies, levels of experience and most of all character traits and personalities. Some agents work primarily with sellers or deal with commercial properties, some do the bare minimum and others provide a high level of service. It’s important to do your research – look for reviews and recommendations from past clients and don’t be afraid to interview several agents. The right REALTOR will make a big difference in the success of your real estate transaction.
MYTH #2: You need a 20% down payment →
This is not always the case! While it’s true that a larger down payment can help you secure a better interest rate and lower monthly payments, it’s not necessary to have 20% down. In Canada depending on the cost of your home and your personal financial situation, your down payment could be as little as 5%. There are many options available for buyers with smaller downpayments – it’s important to keep in mind that if your down payment is in fact less than 20% you will have to purchase mortgage loan insurance.
MYTH #3 Buying a house will be your only expense →
The truth is there are many other costs associated with homeownership that are important to consider before taking the plunge! First, at the time of your purchase you’ll need some “liquid cash” for a house deposit as well as inspection fees. Then, there are closing costs, which can include things like appraisal fees, title insurance and lawyer fees. Once you’ve closed, you’ll need to take into account ongoing expenses like property taxes, insurance and maintenance. Maybe even condo fees! And let’s not forget about those unexpected expenses like repairs and renovations.
MYTH #4 Selling your home “by owner” saves you money →
It would be great if selling your home was as simple as putting up a for-sale sign in the front yard and watching it sell. The reality is that for many it’s not. REALTORS® have extensive market knowledge; to correctly price and market your property (like staging, photography & videography). Let’s not forget access to the MLS, prequalifying potential clients, organizing visits and open houses, and negotiate offers,etc. You’ll also benefit from their circle of professionals. From start to finish, there are over 150 tasks to be done! Would you hire an accountant to do your taxes or a mechanic to fix your car? Having a professional sell your home will help you guarantee the best return on your investment and the most stress-free and smooth experience. A good REALTOR® is worth their weight in gold!
So there you have it! The real deal on real estate in this edition of real estate facts vs myths. Have you heard of any other real estate “myths”? Let us know in the comments and we’ll answer them in a future post! And remember, buying or selling a home doesn’t have to be scary – it can actually be quite fun! We’d love to join you for the ride!