5 Common Lies Real Estate Agents Tell Clients (And What You Actually Need to Know)

Buying or selling a home is one of the biggest financial decisions you'll ever make. And while many real estate agents are knowledgeable, ethical, and genuinely helpful, some are more focused on closing the deal than doing what's best for you.

Whether you're working with an agent now or just starting your real estate journey, understanding the most common myths in the industry can protect your money, your time, and your peace of mind.

Let's break down the top 5 lies that agents may tell you—and what the truth actually is.

1. "You Need a Realtor to Buy or Sell a Home"

This is one of the most persistent myths in real estate. The truth? You don’t legally need a Realtor to buy or sell a property. In fact, many homeowners list properties as For Sale by Owner (FSBO), and plenty of buyers purchase directly without representation.

But should you go it alone? In most cases, no. Buying or selling a home involves complex legal contracts, disclosures, negotiations, inspections, and financing. Without expert guidance, it's easy to miss something crucial that could cost you thousands later. Think of it like going to court without a lawyer—possible, but rarely smart.

A great Realtor adds value by protecting your interests, marketing effectively, and managing all the details.

2. "You Don't Need a Home Inspection on New Construction"

Just because a home is brand new doesn't mean it's perfect. In fact, new construction homes often have more issues than resale properties because of rushed timelines, subcontractors cutting corners, or simple human error. Some agents might downplay the need for an inspection to help the builder keep things moving, but this is risky advice.

Even on a brand-new build, inspectors have found missing insulation, faulty wiring, unconnected HVAC systems, and even plumbing that isn't tied into the main line. Get a third-party inspection, every time. It’s a small cost to protect a very big investment.

3. "All Realtors Are the Same"

This couldn’t be further from the truth. Just like in any profession, there are outstanding Realtors and there are ones you should avoid. Some specialize in commercial deals, others in new construction or investment properties. Experience, local market knowledge, negotiation skills, and ethical standards all vary widely.

The key is finding someone who specializes in your specific type of transaction and location. Don’t hire your cousin’s friend just because they have a license. Interview multiple agents, ask questions, and make sure your agent truly understands your goals.

4. "Buyer Agents Are Free"

For years, many agents have told buyers that their services are "free" because the seller pays the commission. But here’s the truth: someone is always paying, and it might end up being you.

In most cases, the seller builds the buyer agent’s commission into the price of the home. And with recent lawsuits and rule changes in the real estate industry, buyers may now be asked to cover their agent's commission directly. This is where a buyer representation agreement becomes crucial—it clearly outlines what services you're getting, how much they cost, and who is paying for them.

Be wary of agents who avoid talking about their fees. A professional should be upfront, transparent, and ready to explain how they’re compensated.

5. "Interest Rates Don't Matter"

Some agents tell buyers not to worry about interest rates, claiming you can "marry the house, date the rate." But this oversimplifies a big issue. Interest rates dramatically affect your purchasing power. A small increase in rates can mean hundreds more in monthly payments, potentially reducing the price range you can comfortably afford.

Rates also determine what kind of loan programs you qualify for, how much you’ll pay over the life of the loan, and whether refinancing later will even be worth it. If you’re planning to stay in your home long-term, interest rates matter more than ever. Your agent should help you understand how the current market conditions impact your buying strategy, not brush them off.

The real estate process is full of emotion, pressure, and complexity. That’s why it’s essential to work with a professional who values transparency over sales tactics. You deserve to know the truth about what you're signing, what you're paying, and what to expect every step of the way.

If you're planning to buy or build a home soon, especially in a competitive market like Texas, it's never been more important to have a trustworthy expert on your side. Make sure you're working with someone who educates, advocates, and negotiates on your behalf—not someone who just wants to close a deal.

Need help navigating new construction or want honest advice before you start your next move? Reach out today and get the clarity you deserve.

Post written by Michael Stephens from Living Local Texas.