Everyone seems to have real estate advice. The problem is not all of that advice is good advice.
Longtime California real estate agent Tracey Hampson tries to help homebuyers and sellers sift through the clutter of opinions out there in the article “The Best Real Estate Advice You’ll Ever Get – Tracey’s Real Estate Tip of the Week” on HomeTownStation.com.
Hampson listed some of her favorite pieces of advice, which included —
Don’t purchase a home strictly on your emotions. Although emotions can be a part of one’s decision, making a list of the pros and cons is one of the easiest ways to decide, Hampson wrote. Take the time to look at all the information before buying it.
Buy the ugliest house in the nicest neighborhood. A few simple fixes to a home that needs some work in a great location will increase the equity significantly, according to the article.
Bigger isn’t always better: Although you might be buying your dream house, a big home requires more upkeep, utilities will cost more, and, when it comes time to sell, the pool of potential buyers will be smaller, Hampson warned.
Always put everything in writing. There is no such thing as a verbal contract, Hampson wrote.
So what about all that bad advice out there? In the article “The Very Worst Home-Pricing Advice You’ll Ever Hear (and Why)” on Realtor.com, Margaret Heidenry listed some of her favorite (or least favorite) pieces of bad pricing advice. These include —
Price the house based on what you feel is right. It’s bad advice because you shouldn’t let emotion get in the way of what essentially is a large and important business transaction, according to the article.
Price the house based on what you paid, plus a little extra for profit. Unfortunately, the only thing that matters is what a buyer is willing to pay, and that will be based on what similar-size homes in your area sold for recently, Kathy Braddock, managing director of William Raveis in New York City, said in the article.
Not in a hurry to sell? Price the home high. According to Bill Golden of Re/Max Metro Atlanta Cityside, buyers will know if a home sits on the market for a long time and will make lower offers. “In the end, these homes almost always sell for less than if they had priced it right to begin with,” Golden said in the article.