Humber/Ontario Real Estate Course 4 Exam Practice

What impact does a stigma have on a property sale?

1. Shortens the selling time

2. Creates a more appealing property image

3. Increases its market value

4. Often results in longer selling periods

5. Results in mostly positive reactions

6. Sometimes adds more buyer interest

The correct answer is: Often results in longer selling periods

A stigma associated with a property can significantly affect its sale, often leading to longer selling periods. Stigmatized properties may include those with a history of negative events, such as a crime, environmental issues, or other adverse factors that can deter potential buyers. This negative reputation tends to create hesitation among buyers, who may be concerned about the implications of purchasing such a property. The presence of stigma can lead to reduced demand, making it more challenging for sellers to attract buyers and necessitating longer timeframes for a sale to occur. As a result, properties with a stigma often remain on the market longer than similar properties without such associations. Other options might suggest effects like shorter selling times, increased market value, or positive buyer interest, but the reality of stigmas is typically more detrimental to the property's appeal and market performance.