How to Benefit from a Seller's Market
Updated: Sep 11, 2020
Any experienced real estate agent will tell you that markets go through cycles, your local market included. Before deciding to sell or purchase a home, be sure to take a look at your market’s cycle to take advantage of the best timing to buy or sell a home. Regardless of where you are looking to buy or sell, it is of the utmost importance to know your market.
Factors that indicate that a sellers’ market is prevalent in your neighborhood:
Low inventory of homes – There are fewer homes for sale than the number of buyers looking to purchase a home. Since competitive offers are quick to come in, home listings do not stay on the market long.
Low-interest rates – More buyers are attracted to the market when the interest rates are low, which creates an opportunity for first-time buyers, along with those looking for an upgrade. Low rates give buyers the chance to purchase something special. With interest rates low, buyers who are wondering how much house they can afford could be looking to buy now and may even be able to afford more than they originally thought.
Strong buyer’s demand – With a low housing inventory and/or shortage, more than one interested buyer triggers the sale price to rise before the seller accepts an offer. With high buyers’ demand, there are bidding wars occurring all over the country and sellers