Spot the Difference: How to Identify Between a Buyers or Sellers' Market

Are you in the market for a house? If so, the secret to a happy sale may be knowing when to be a buyer and when to be a seller.

Learning more about the real estate industry can help you better understand rather you're dealing with a buyers or sellers' market.

Read on to learn more about how to strike while the iron is hot.

When the Market is Flooded...

Are there so many listings that you hardly know where to start? You may be staring at a buyer's market. 

When there are many options in a small area, competition between sellers runs hot. You may often see incentives built into your deal or sellers who are willing to fix issues that come up during inspection.

While an overwhelming list of houses might seem like a headache, it can be a good indication that you're buying at the right time.

Danger: Falling Prices Ahead! 

Seeing price reductions in the market? You may be dealing with a buyer's market. Price reductions often indicate that there are fewer buyers in the market for a home.

Because of this, motivated sellers are often forced to lower their prices to get out of their homes. For those who are moving due to a work transfer, it may be their only option.

Know When the Bubble is About to Pop

When real estate prices are out of control, crazy things can happen. Anyone who remembers the real estate bubble of 2006 can account for this.

If you live in an area where real estate prices have become inflated, it's important to get out before the bubble bursts. If you're considering a move in the near future, don't wait until the market hits a panic.

Keep your house well maintained, so you'll have the option of leaving when the time is right. Do that and you'll stand to make a profit instead of settling for what's left of the market. 

What Does Rent Control Say About the Real Estate Market?

While rent control may have little to do with buying and selling, it's got more to offer than you think. If there are rent control initiatives gaining traction in your area it is likely to mean that the real estate market is oriented toward sellers.

Think of rent control as a weather vane. If there aren't enough "affordable" places to live, you're in a desirable area. Further, if rent is high, the difference between rent and a mortgage may be negligible.

Is it a Buyers or Sellers' Market?

If you're unsure of where the market is in your local area, it's time to find a real estate agent that you trust. Having an experienced agent to advise you on real estate needs is essential, regardless of whether you are buying or selling.

An honest real estate agent will tell you if it's in your best interest to hold off on the sale or purchase of a property. 

Want to Learn More?

Regardless of whether it's a buyers or sellers' market, a great real estate agent can help you navigate the road ahead. Buying a home is no small feat and selling a home doesn't have to be a headache.

Visit our website to learn more. We're here to help.