The Top 8 Boston Real Estate Myths

Here are eight common real estate myths debunked:

  1. You Need a 20% Down Payment: While a 20% down payment can help avoid private mortgage insurance (PMI), there are many loan programs available that require much less, sometimes as low as 3%.

  2. Selling a Home Yourself Saves Money: While you might save on real estate agent commissions, selling a home yourself (FSBO) can be time-consuming and may result in a lower sale price due to lack of market exposure and negotiation skills.

  3. You Must Renovate Before Selling: Not all renovations guarantee a high return on investment. Some minor improvements can boost appeal, but major renovations are not always necessary and might not be cost-effective.

  4. Real Estate is Always a Good Investment: While real estate can be a good long-term investment, it is not without risks. Market conditions, location, and timing can significantly affect the value and profitability of real estate investments.

  5. The Listing Price is the Final Price: The listing price is a starting point for negotiations. Homes often sell for more or less than the listed price depending on market conditions and buyer interest.

  6. Spring is the Best Time to Sell a Home: While spring is traditionally a busy time for real estate, homes sell year-round. Factors like local market conditions, home inventory, and personal circumstances also play a significant role.

  7. Open Houses Sell Homes: While open houses can generate interest, most homes are sold through scheduled showings and online listings. The effectiveness of an open house can vary based on location and market conditions.

  8. You Should Price Your Home High to Leave Room for Negotiations: Overpricing can deter potential buyers and cause your home to sit on the market longer. It's generally better to price your home competitively based on market analysis to attract serious buyers.

Kevin Woo