Buyer's Market? Seller's Market? Balanced Market?
Buyer's Market means that there are more homes on the market than there are buyers.
- Buyers will spend more time looking for homes
- Potential Buyers have more inventory to choose from
- Home prices are stable, or perhaps dropping
- Buyers have stronger leverage when negotiating
Seller's Market means that there are more Buyers than homes for sale.
- Homes sell quickly!
- Home prices are likely to increase
- There are more likely to be multiple offers, giving the Seller more negotiating power,
- Conditional offers may be rejected
Balanced Market means that there are relatively the same amount of homes for sale as there are Buyers.
- Equal competition between Buyers and Sellers
- There are reasonable offers from Buyers
- Homes sell within a reasonable time
- Less tension between Buyers and Sellers
- Home prices remain stable
Who determines what the market is? Simply put, the activity that is currently taking place with the listing and buying of homes determines the type of market we are in. Various statistics and measurements (metrics such as Months of inventory [MOI]) also the state of the economy will impact the current state of play.
In addition, you can have local pockets that are not 'behaving' the same. For example, some neighbourhoods might be in higher demand than others; and same goes for 'types' of homes. That is where an excellent REALTOR® will add value. We study the markets and keep our fingers on the pulse to help keep you informed and help you navigate the selling and buying process. For more information and to learn more about these market conditions, connect with us now or set up a future appointment with us by clicking here.