Everyone is an Expert in Real Estate…NOT!

For every home listed for sale, there is a buyer.  Unfortunately, real estate is one of those industries where almost everyone thinks they are an expert.  However, here are three things many people believe are true, but actually aren’t:

1. Just remodel the kitchen and bathrooms and your house will sell! Yes, a stunning kitchen and a gorgeous bathroom do help, but if these rooms aren’t consistent with the rest of house, it can be the equivalent of not doing the work at all.  If the condition of the rest of house isn’t the same as the kitchen and bathrooms, then a buyer may think they have to remodel the entire home to keep it consistent throughout.  Instead, just do touch up paint throughout and fix any damage that can be easily seen.  This includes putting on outlet plates where they may be missing or fixing some damaged wood around the door.
2. All lots are created equal.  There is House A and House B:  House A has is on a 10,000 square foot lot but only 4,000 square feet is usable because it is hillside.  House B is on a 6,000 square foot lot in the same neighborhood but the lot is mostly flat and most of the land is usable. Which has more value?  House B is the correct answer.  If you are in an area where there are hills, the amount of usable land is much more important than the amount of land you have altogether.
3. Price per square foot is the best way to appraise a home.  Looking at just the price per square foot (taking the total square footage of the home divided by the price) is not the best way to determine a price.  This is true because not all square feet are created equal.  If there is a house that is extremely run down and all of the other homes in the neighborhood are brand new, the average price per square foot of the brand new construction is going to be the same as the run down home, despite the fact that they’re really not comparable.  In addition, the price per square foot doesn’t take into consideration a pool, functionality of the floor plan, number of bedrooms and bathrooms, etc.  Looking at just the price per square foot can be grossly inaccurate.

Just like going to a doctor with medical questions, talk to a real estate expert about real estate.  It can save you time, energy, and most importantly, money.