Secret #1: The Best Properties Aren’t Always Publicly Listed
In many advanced real estate markets like New York or Dubai Marina, there are what’s called "Off-Market Deals"—properties that aren’t listed publicly. These are often reserved for wealthy or preferred clients. What you see online is just the tip of the iceberg. Off-market properties offer privacy to the seller and exclusivity to the buyer, but they require connections to access.
Example: In Los Angeles, a $12 million villa was sold via a private deal without ever being listed on the open market. The buyer was connected through a private network of brokers.
What to do: Build strong relationships with multiple agents and clearly show that you’re a serious buyer. This increases your chances of gaining access to exclusive listings. Consider joining private real estate networks or events to gain exposure to off-market listings.
Secret #2: The Price You’re Told Isn’t Always Final
Agents often say, “This is the final price; the seller won’t go any lower.” But in reality, there’s usually room to negotiate, especially in a cooling market or when the property has been on the market for an extended period. Price flexibility is influenced by the urgency of the seller, the season, and local economic indicators.
Example: In Berlin in 2023, apartment prices in some areas dropped by 8%, but agents continued listing them at the previous year’s prices. Buyers who negotiated were able to get properties for much less.
Tip: Ask for a Comparative Market Analysis (CMA) and study current market trends before agreeing to any price. Use tools like Zillow, Redfin, or local equivalents to compare recent sales in the neighborhood.
Secret #3: Commissions May Affect the Agent’s Advice
In most countries, agents earn their commission from the seller (and sometimes from the buyer too). This can impact how objective their advice really is. They may encourage you to buy a more expensive home, not necessarily the right one for you.
Example: In Miami, agents earn up to 6% commission from a sale. The higher the property value, the more they stand to gain. This motivates some agents to push properties that benefit their income more than your interests.
Solution: Hire an independent property inspector or appraiser to give you an unbiased assessment of the property. In some cases, consider paying for a buyer’s agent who is solely incentivized to act on your behalf.
Secret #4: The Real Flaws of the Property Aren’t Always Mentioned
Photos may be stunning, and descriptions convincing, but no one tells you that the property sits next to a noisy industrial zone or under a flight path. Agents often gloss over neighborhood flaws, inconvenient layouts, or problematic surroundings.
Example: In Dubai, units in stunning towers with sea views were sold, but buyers later found the only access road to the building suffered from daily extreme traffic congestion and flooding during the rainy season.
Tip: Visit the property at different times of day and talk to neighbors about potential issues. Use digital tools like Google Maps Street View and neighborhood review platforms to get the real picture.
Secret #5: Timing Is More Important Than the Property Itself
Agents want to close deals quickly. But they won’t tell you that waiting just a few more months could get you the same property at a better price. Market cycles, interest rate changes, and seasonal trends can significantly impact pricing.
Example: In London, prices fell 10% during the summer of 2023 due to rising interest rates and geopolitical uncertainty. Buyers who waited saved hundreds of thousands of pounds.
Strategy: Monitor the market. Don’t rush. Consult a financial expert or keep an eye on central bank policies. Sign up for newsletters from real estate investment firms to stay updated.
Secret #6: Promised Construction Projects Might Not Be Completed as Advertised
For off-plan properties, developers may promise luxurious pools, parks, and shopping centers. But do they actually deliver? Some developers cut corners or delay completion to save money.
Example: In some Istanbul and Dubai projects, up to 30% of the promised amenities were never built. One project promised a rooftop pool, but delivered only a sun deck.
Tip: Don’t rely on promises. Read contracts carefully and ensure there are penalty clauses for non-compliance. Check the developer’s past track record and request references from past buyers.
Secret #7: The Agent Works for the Seller, Not the Buyer
Even if they seem friendly, remember that agents usually get paid by the seller. Their primary goal is to close at the highest price. Their fiduciary duty often lies with the seller unless otherwise agreed.
Example: In California, a major case in 2022 revealed that some agents secretly acted in favor of sellers while misleading buyers, recommending overpriced properties while omitting market alternatives.
Solution: Hire a buyer’s agent who has a contract to represent your interests specifically. Make sure the agreement outlines their obligations and commission structure.
Secret #8: Pictures Can Be Very Misleading
Photos on property websites are often taken with professional lenses and shot from angles that distort room sizes. Editing software can hide blemishes, make small rooms look spacious, and enhance lighting artificially.
Example: In Singapore, a buyer discovered that the spacious-looking apartment in the ad was actually 30% smaller than expected and the advertised “sea view” was a partial glimpse from one window.
Tip: Never rely solely on photos. Ask for a 3D virtual tour or visit the property in person. If you’re buying remotely, hire a local scout or ask a trusted contact to tour the property on your behalf.
Secret #9: A New Property Doesn’t Mean a Problem-Free Property
Even new constructions can come with structural issues, especially if built quickly or with low-quality materials. Inspections are often skipped for new units, which can be a costly mistake.
Example: In some Las Vegas developments, wall cracks started appearing just one year after handover due to the use of substandard materials and rushed construction timelines.
Prevention: Hire an engineer or construction expert to inspect the property—even if it’s brand new. Check if the developer offers warranties and what they cover.
Secret #10: Neighbors Are Just As Important As the Property
Agents will highlight the property’s features, but rarely talk about the neighbors. A bad neighborhood can ruin your living experience. This is especially true in multi-unit buildings or communal housing areas.
Example: In a Frankfurt district, a buyer ended up selling his dream apartment due to constant issues with aggressive neighbors and poor building management.
Tip: Talk to residents before you buy. Ask about community dynamics and daily life. Join online forums, Facebook groups, or neighborhood-specific apps like Nextdoor to get honest reviews.
Bonus Insight: Real Estate Investment Isn’t Always Passive
Agents often sell the idea that buying property equals easy passive income. But in reality, being a landlord comes with responsibilities: maintenance, tenant management, taxes, and legal compliance.
Example: In New York, new rental regulations reduced landlords’ flexibility, impacting profits. Many investors were caught unprepared.
Advice: If you're buying as an investment, consider hiring a professional property manager and study local landlord-tenant laws thoroughly.
With these insights, you're now equipped to approach the property market with a sharper eye and stronger strategy. The real estate world is complex, but with knowledge, you hold the upper hand.
Thinking about buying a property soon? Don’t do it before reading this article again!
🧑🤝🧑🏘️🔊
ReplyDelete