4 Real Estate Industry fallacies.

Written by Posted On Friday, 29 September 2017 13:40
  1. 1. New windows will make my home more energy efficient.

Although new windows will go a long way to make your home look nicer and have greater curb appeal the Federal Trade Commission has filed charges against a number of window manufacturers who have been exaggerating their claims about efficiency.  Apparently these companies promise up to fifty percent return on investment with energy savings but that number is more likely to be less than ten percent.  A window is one of the primary energy loss areas in a home and no matter what window you put in that space it will still have significant energy losses.  Newer windows and better windows will increase energy efficiency but not play a major factor.  If you want to increase energy efficiency in your home and reduce energy bills start with more insulation, at less than a third the cost. 

  1. 2. The visit six homes, revisit three, and choose one model of buying a home.

This model of purchasing a home has been used for decades and has worked fine up until now.  Agents that want to control their Buyer’s experience in purchasing a home is a thing of the past.  These days most people want to find their own home and with today’s technology that becomes quite easy.  Buyer’s typically have access to the same information that Realtors do, with the exception of owner contact information for access to the home.  Buyers are way ahead of the game with comparable properties, neighborhoods and the purchase process than they were just ten years ago.  It is up to a good Realtor to understand that the information is out there and give clients enough room to make a good decision. A good Realtor will understand when and where to add their experience and knowledge.

  1. 3. Brick and Mortar offices are a thing of the past.

You’ve heard that Brick and Mortar offices are a thing of the past but not really.  Sure with sites like Zillow and Trulia and a host of others, information is out there for everyone to find.  This is a good thing for everyone because we all want to be informed whether it is real estate or nutrition.  It also makes it so much easier for Buyers to research and find properties on their own without the assistance of an agent but people want to know that you have an office.  Sure, no longer are the days of huge offices with a host of desks for agents but clients want to know where to go to drop off that check or contract or key or whatever.  It still lends to the legitimacy of the industry.  Realtors who only meet their clients at Starbucks or at a property are missing out on a presentation of professionalism.  Even a small 500 square foot office on a bustling street not only gives a sense of permanence but may entice someone to  drop in and see what’s for sale.

  1. 4. There’s no need to spend money when homes are selling fast.

The market is hot and houses are selling as fast as they can come on the market, sound familiar.  Well this is no reason to stop marketing these properties.  The fall out rate in any given area is typically around 25 percent.  That means that out of 100 homes that go into contract in any given time frame, 25 of them will fall out of contract for some reason or another and go back on the market.  If this happens and no marketing was done then there is a good chance that you have missed the right buyer on this home.  Buyers are continually scanning the websites like Zillow and Trulia for new listings and once they see that “Pending Sale” they move on to the next home.  What is going to bring them back should it fall out of escrow?  Homes fall out for a number of reasons: Buyer doesn’t qualify, too much work, failed inspection and so on.  These are all good opportunities to market the home and secure another Buyer.  Realtors that don’t spend the money to advertise will tend to miss out on this and will be playing a catch up game to secure that second Buyer that will close the transaction. Just because a market is hot doesn’t mean your Realtor should slow his game.

If you have any questions, call me and I will help you.  If you know of someone looking to Buy or Sell Real Estate in El Dorado County call me, text me at 530-306-3494 or email me at  This email address is being protected from spambots. You need JavaScript enabled to view it..

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