According to the National Associations of Realtors Homeownership and Market Experience (HOME) Survey, most Americans believe that now is the perfect time to become a homeowner. According to the survey, 72% of people believe now is a good time to buy.
This could be because of the changing economic situation. 52% of Americans surveyed believe the US economy is improving, and according to a recent Neighborworks survey, 81% of Americans believe owning a home will make them more financially stable.
It could also be because homeownership is still such a deeply ingrained part of the American culture. According to that same Neighborworks survey, a whopping 93% of people believe owning a home is a part of the American dream, with 18% claiming it’s the most important part.
And with so many new buyers flooding the market, it creates the perfect opportunity for sellers. With more people believing now is the time to buy, the market is struggling to keep up with demand. Low inventory, particularly in the starter home sector, creates more competition between buyers and can be a lucrative opportunity for sellers to get the most for their homes.
If it's your first time buying or selling real estate, you don't know what you don't know. There are tons of potential pitfalls and challenges along the way that it's hard to anticipate when you don't know what to expect. But luckily for you, most of the missteps taken by first time buyers and sellers are pretty universal, which means you can learn from their mistakes and avoid falling into the same traps. Here are four common real estate mistakes to avoid the first time you buy or sell a home:
1. Thinking you know the right price
The price of a home - whether you're buying or selling - is one of the most important components of a real estate transaction. But there's a lot more that goes into pricing than what meets the eye. Pricing a home is a kind of science. There are so many factors that come into play - time of year, current market conditions, how quickly homes are selling the neighborhood, the current value of the home. The real estate agent takes all of those factors into consideration when coming up with the right price for a home. Without a real estate background, it's impossible for you to understand all of those conditions and how they affect the price of a home. If you're selling, you're likely to think your home should sell for a higher price because of the value it holds for you. If you're buying, you're likely to think a property should sell for less because that means a better deal on your end. But ignoring your real estate agent's pricing advice because you think you know what the price of a property should be...
Every industry suffers from it -- overused, industry-specific jargon that everybody’s tired of hearing. You know, words and phrases that sounded cool way back when… but they’ve lost their luster. Here are the 25 most overused terms used in the real estate industry, as nominated by fellow agents.
1. "Will not last"
Credit: Nancy Judovits
Not to burst your bubble, but those 317 days on market are telling a different story, chachie.
2. "Seller says sell"
Credit: Kelly Provost
No way! I thought you had snuck this listing on MLS without their knowledge!
3. “Huge deck for entertaining”
Credit: Michelle Weadbrock
This is just one letter away from a whole heap of embarrassment. If real estate agents insist on using this one, it should be done with extreme caution.
4. "Bring your pickiest buyers"
Credit/photo: Aggie Sean
It’s not that this is the most horrible statement ever… it’s that it’s usually accompanied by a photo like this:
5. “Needs TLC”
Credit: Rhonda McMillion White
Thanks to Jeana Brinkerhoff & Mark Hawley for the acronyms