Should "appeal" of homes as shown be taken into consideration?

An off-Island Realtor friend says:

 “Buyers need to stop overvaluing these homes based on “appeal” as in photos, and look at the underlying value proposition”

I do agree with that. However, appeal has to be taken into account in Real Estate (and marriage). Of course Architectural design, especially, has to be considered.

Here's my favorite, most appealing Mercer Island Patch Home this weekend: It looks like an older well-cared for, solid home with a nice garden that should appeal to empty-nesters with their families who come to visit them often. It will probably sell soon. I've looked at a lot of these over the years for savvy interested buyers who want my expert appraisal of its underlying value/condition. Heating systems, wiring, plumbing- all that kind of thing.

For example, when I buy a used car, I have Carl Person, my owner and/or his expert mechanics look it over before I make an offer. 

What do you think? Wise theory, or folly?