Debunking 5 Common Real Estate Myths

When it comes to buying or selling a home, everyone seems to have advice. Whether it's from friends, family, or something you read online, there's no shortage of real estate "rules" that people swear by. But the truth is, not everything you hear is accurate—and in some cases, following bad advice can cost you time and money.

That's why I'm here to set the record straight. In this post, I'll debunk some of the most common real estate myths so you can confidently make informed decisions. Whether you're thinking about selling your home, buying your first property, or just curious about how the market really works, let's separate fact from fiction.

Myth #1: "You Need to Renovate Before You Sell"

The Myth:

Many homeowners believe they need to do major renovations before listing their home. The assumption is that buyers only want fully updated properties and that spending thousands on upgrades will guarantee a higher sale price.

The Reality:

While renovations can add value, they aren't always necessary to sell your home for a great price. In many cases, buyers want to personalize a home themselves and may not value the upgrades as much as you think. Instead of expensive remodels, minor strategic improvements can make a big impact.

• Focus on first impressions: A fresh coat of paint, deep cleaning, and decluttering can go a long way.
• Staging matters: Professional staging (or even hybrid staging) can highlight your home's best features without requiring renovations.
• Price it right: A well-priced home in good condition will attract serious buyers, even if it's not fully updated.

I've seen many homes sell quickly with minor touch-ups and professional photography. Before spending money on renovations, talk to a realtor (like me!) to determine what's worth doing and what isn't.

Myth #2: "You Must Have 20% Down to Buy a Home"

The Myth:

A common belief among buyers—especially first-time buyers—is that you need a 20% down payment to purchase a home. This misconception often discourages people from considering homeownership, thinking they must save for years before they can afford to buy.

The Reality:

While a 20% down payment can help you avoid mortgage default insurance (CMHC insurance in Canada), it is not a requirement to buy a home. Many buyers successfully purchase homes with much lower down payments.

• In Canada, you can buy a home with as little as 5% down on a property under $500,000.
• For homes priced between $500,000 and $1 million, you need 5% on the first $500,000 and 10% on the remaining amount.
• Government programs like the First-Time Home Buyer Incentive or RRSP Home Buyers' Plan can help with affordability.

What's more important than hitting a 20% down payment is finding a mortgage that fits your financial situation. A good mortgage broker can help you explore options, including low-down payment programs that still keep monthly payments manageable.

If you're unsure what's possible for you, I can connect you with trusted mortgage professionals who can walk you through your options.

Myth #3: "Spring Is the Only Time to Sell a Home"

The Myth:

Many sellers believe that spring is the only time to list a home because that's when the market is most active. The idea is that more buyers are looking, leading to faster sales and higher prices. As a result, some homeowners delay selling, even if they're ready, just to wait for the "perfect" season.

The Reality:

While spring is a busy season for real estate, homes sell year-round—and in some cases, listing outside of the peak season can work in your favour.

• Less competition: In fall and winter, fewer homes are on the market, meaning your listing has a better chance of standing out.
• Serious buyers: Off-season buyers tend to be more motivated, whether they're relocating for work, upsizing for a growing family, or looking to buy before interest rates change.
• Better visibility: With fewer listings competing for attention, your home is more likely to get noticed.

Every season has its advantages, and the best time to sell depends on your situation, your home, and your local market trends—not just the time of year. If you're thinking about selling, let's chat about your goals and the best strategy for your timeline.

Myth #4: "Pricing High Leaves Room for Negotiation"

The Myth:

Many sellers think that by listing their home above market value, they'll have more room to negotiate and still end up with their desired price. The assumption is that buyers will always make low offers, so starting high ensures a better final sale price.

The Reality:

Overpricing can actually hurt your sale more than help it. Here's why:

• Fewer buyers will see your home. Buyers today are well-informed and search within price ranges that reflect fair market value. If your home is overpriced, it might not even appear in their searches.
• It can sit on the market too long. Homes that linger on the market often develop a negative stigma, making buyers wonder what's wrong with the property.
• You may end up selling for less. When a home is overpriced, it can lead to price reductions over time—sometimes even selling for less than if it had been priced correctly from the start.

The best strategy? Price your home competitively from day one. A well-priced home attracts more interest, which can lead to multiple offers and a stronger negotiating position.

If you're unsure what your home is worth, I can provide a professional market evaluation to help you price it right the first time.

Myth #5: "Online Home Valuations Are Accurate"

The Myth:

With the rise of online valuation tools like Zestimate and automated home price calculators, many homeowners assume these estimates are reliable indicators of their home's actual market value. It seems simple—just enter your address and get an instant number.

The Reality:

While online valuations can provide a rough estimate, they are far from precise and often misleading. These tools rely on algorithms that:

• Use generalized data instead of real-time market conditions.
• Can't account for recent renovations, upgrades, or unique features of your home.
• Often miss hyper-local trends that impact property values, such as neighbourhood demand, nearby developments, or seasonal shifts.

For example, two homes on the same street could have similar square footage, but if one has a new kitchen, finished basement, and better lot positioning, their actual values will be very different—something an algorithm can't correctly factor in.

The most accurate way to determine your home's value is through a comparative market analysis (CMA) performed by a local realtor who understands your market. If you're curious about your home's real value, I'd be happy to provide a free evaluation with insights beyond what an algorithm can offer.

Conclusion

There's a lot of real estate advice out there, but not all of it is accurate. Believing these myths can hold buyers and sellers back from making smart decisions.

✅ You don't need a major renovation to sell your home.

✅ You don't need 20% down to buy a house.

✅ Homes sell in all seasons, not just spring.

✅ Overpricing your home can hurt your sale more than help.

✅ Online home valuations aren't always reliable—local expertise matters.

If you have questions or have heard other real estate "rules" that you're unsure about, let's chat! I'm here to provide clarity and help you make informed decisions, whether you're buying or selling.