Operations
Perception Is Nine-Tenths of Reality ONE OFTEN-UNADDRESSED CHALLENGE WITH AFFORDABLE HOUSING IS HOW IT’S BRANDED.
SKYLER WILSON
T he meaning behind the oft- repeated aphorism “perception is nine-tenths of reality” is that whatever someone believes becomes their truth. For example, people will pay double for a cup of coffee if it comes in the right cup with the right logo, even if it’s still just Folgers inside. They believe it tastes better, and therefore it does. Real estate works much the same way. Presentation changes perceived value. Perception drives capital. If something looks investable, people believe it is. If it doesn’t, they’ll scroll right past it, no matter how solid the numbers are. And here’s the ironic part: Some of the flashiest real estate classes, like large multifamily or commercial developments, can see the biggest swings in performance.
PACKAGING OVER PERFORMANCE
The No. 1 most stable asset class in America has been, and always will be, the single-family home. Everyone needs a roof over their head—it’s the last thing anyone will let go of. The electric bill, the car, the furniture, the subscriptions— all of it goes before the house. Companies that focus almost entirely on single-family homes, many of them investing in C-class neighborhoods, are some of the only real estate funds that keep paying consistent monthly distributions during hard times. So why doesn’t the average investor see affordable housing as the stable wealth builder that it actually is? Because of branding. “Scale” and “luxury” have been glamorized while neglecting the simple truth that stability often lives in the most modest places.
People are far more influenced by marketing than they think. Again, perception is nine-tenths of reality. When an investor sees modest but steady returns on an asset that doesn’t make their portfolio look like a Fortune 500 brochure, a blind spot appears. The biases kick in. They might not even realize it, but the packaging changes everything. Picture two deals sitting on your desk. The first is a Google Doc titled “Low- Income Rental Phase II.” It’s nothing but spreadsheets and a few uninspiring photos—a house with toys scattered in the yard and dishes in the sink. The
14 | think realty magazine :: december - january 2026
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