Whether you’re a buyer or a seller, or just new to the real estate world, you may soon find yourself in a mysterious place surrounded by fairytales, myths and rumors. Real estate can be a very confusing place to navigate, and it can undoubtedly become very difficult to separate facts from fiction. But what makes real estate “real” and what is an “invisible script” or a myth?
It is believed that the term “real” in real estate has its roots in the Latin word “res”, which literally means “property”, actual or physical things. Others have argued that the term is related to another Latin word “realis”, meaning “real, existing, true”. But how much “truth” is it in “real”?
Invisible scripts are those concepts that became so popular to the collective mind that transformed themselves into guiding life principles, so deeply embedded, they’re often invisible. These invisible scripts guide us so subtly, we don’t even realize it: “Marry the one you love”, “You need a college degree”, “Learning gets harder with age”, “Public transportation is only for poor people”, “A house is always a good investment”, “Spring is the best time to sell your house”, etc. We have based our entire lives, careers and decision making mechanisms on these types of generic beliefs that may or may not be true. The real estate industry, in particular, has learned a reputation of fact fabrication. Deciphering fake news from real ones can be a difficult task, and it can fool even the sharpest minds, especially when the information is coming from organizations that we believe are reliable. Many of us accept messages at face value, without doublechecking the veracity of the information. So, what are the most common myths and invisible scripts in Dubai real estate industry, and how do we debunk them?
All real estate agents are the same
A common misconception when buying or selling property is that all real estate agents are the same and that every agent is qualified to represents your interests. Quite far from the truth. Before making one of the biggest financial decisions of your life, you must make sure that your chosen person is a licensed “broker” or an “agent” and that the person in cause is qualified and experienced enough to deal with the transaction in a proficient and efficient manner.
The market is highly unregulated
The Dubai government has learned from the past’s mistakes, and in 2007 has formed the Real Estate Regulatory Authority (Rera), which since has worked tirelessly to implement tighter regulations and better systems in order to protect the stakeholders and consumers alike, as well as agents, landlords, tenants, buyers or sellers.
Dubai is an expensive city
Believe it or not, Dubai is relatively cheap comp
ared to other major metropolitan areas like New York, London or Hong Kong. Dubai didn’t make the top 10 of the most expensive markets in the real estate this year, being outranked by far by cities like Monaco, London, Hong Kong, Singapore or Geneva. Moscow, Rome, Los Angeles, Istanbul, Sao Paolo or Tokyo are among other more expensive markets than Dubai.
Overpricing to leave room for “negotiation”
One of the most common “pricing” mistakes that happens to be a real estate myth as well. Incorrectly pricing a property may turn into a “kiss of death” for that particular transaction. Correct pricing is one of the most important rules in trying to sell a property and it can have devastating consequences if done wrong.