Real Estate Myths RevealedReal estate is one of those professions where many people think they know all that's involved. Millions of people have bought or sold a home in their lifetime, and this may make them feel as if they're an expert. But no matter how much you know, times change, and so do the rules and the way things work in the industry. This can lead to inaccurate information being spread about how the real estate industry works.

What are some of the most common real estate myths?

Real Estate Agents are Paid a Salary

Many people don't know that all the money a real estate agent makes is based on the sale of a home.  There's no underlying salary being paid to them, except in rare cases.  People assume that since agents have the money to look nice and host events that they have a steady income.

The case is that agents pay for all of these things out of their own pocket. They will make about the same amount on the sale of a house no matter how much they spend on marketing and so forth. They may spend their time going through hundreds of messages and emails, doing research and giving advice, making many trips to the property for showings, and so on.

Of course, this is all part of being a real estate agent.  The more time and effort an agent puts into helping clients, the more chance they have of selling a home.  But they only make that money IF the home sells.

A Home Can Pass or Fail Inspection

A home inspection is meant to ascertain the condition of a home. It's not some test that you pass or fail. The inspection reveals if there are problems that need to be addressed when the home is purchased, along with a summary of the age of key systems.

Zillow and Trulia Know Everything

Zillow and Trulia certainly have their place in looking for a new home. These websites are useful for getting a good idea of the lay of the home and neighborhood.  But they don't know everything.  That's why talking to a local agent is important.

For example, a Zillow Zestimate does not give the exat value of your home, just an estimate. In fact, even the CEO of Zillow, Spencer Rascoff, sold his home for 40 percent less than the Zestimate showed in 2016.

It's Better to Price High

Overpricing does not help you get the price you want. Sellers want to protect their asking price, so they try to price it higher thinking that it will protect them from selling too low.

What really happens is that the home doesn't sell at all, or takes much longer to sell. You end up chasing away prospective buyers, as they may not even want to look at the house at all. Remember that many people look for homes using a maximum price range on the internet, so your home may not show up in their search at all if you price it too high.

Of course there's many other myths about real estate that can be clarified. Join us every week to learn more about how the real estate industry works. You can search for the perfect home on our website using our powerful home search tools. You can also get free listing alerts of homes as they hit the market at WelcomeToLakeTravis.com. And you can always feel free to call us at 512-657-4467‚Äč to talk to an experienced agent today.