Seller’s Market vs. Buyer’s Market

There is always a lot of buzz in the real estate world about whether the market is leaning toward a seller’s market or a buyer’s market. It is complex and messy and influenced by many factors! 

Throughout COVID we saw an unprecedented seller’s market but understanding why things are happening is a huge advantage for potential buyers and sellers.

Mortgage interest rates are impacted by: 

→Employment

→Construction

→Immigration

→Government Assistance

These factors can influence what happens in the market, which affects the prices and availability of homes. 

A buyer’s market means there are more homes for sale than there are buyers. 

A seller’s market means more people are looking to buy than there are homes available. 

In a buyer’s market,  prices are often below the average rate of inflation. 

In a seller’s market, prices are driven up beyond the level of inflation.

A balanced market happens when supply and demand are similar.

Throughout COVID, it has been no surprise that a seller’s market emerged. What WAS a surprise was how long it lasted. What was ALSO a surprise is there is no end in sight. 

So just like the pandemic was unprecedented, the seller’s market that went unexpectedly long is also unprecedented. So what does that mean for the buyers who have been waiting patiently for it to change up?

If you are still wondering how or if you could afford a mortgage with the rising prices and multiple offers that seem to be a typical situation, here is the reason.⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀

Getting the pre-approval in place with such low mortgage rates leaves you well-positioned to make your move when your dream home appears. And a lower mortgage rate may be the number one reason to make a move. They have never been so low! ⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀

Quite truthfully, I cannot believe how driven clients are to make a move this year. People are restless and recovering from a pandemic that has affected all of us. There has been no one untouched by it.⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀

If you have been wondering if it is a good time to sell your home, I am here to tell you that the market is HOT for you as a seller. And buyer’s it is time to stop hesitating because things aren’t changing any time soon!⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀⠀

Selling your house now in a seller’s market is a gift. You can have quick sales, multiple offers and basically non-existent open houses. There is minimal disruption to your life. So if you are wondering if it is a good time to sell. The answer is 100% YES! 

But with no end in sight, it is potentially also a good time to buy! Buying a home is a big decision but after COVID we have been given a new outlook on working from home possibilities.

If you are curious about navigating a seller’s or buyer’s market, I would love to puzzle it out together!