Have you ever wondered when the best time is to buy or sell a home? Pay attention to the housing market and find out whether your local area is experiencing a buyer’s market or a seller’s market. Read this article to learn about what it means to be in a buyer’s market versus a seller’s market. That way, you can try to time your real estate transaction so that you have the upper hand when it comes to property prices.
Tips for Buyers in a Buyer’s Market
A buyer’s market is the ideal time to purchase a new home because prices are lower and there are fewer buyers to compete with.
Take your time: During a buyer’s market, it’s best to take your time because there’s less of a concern about losing out on a property you’re interested in.
Know what’s available: See as many properties as possible before making an offer. Knowing what’s available on the market is highly beneficial, because it will not only help you ensure that you find your ideal home but also afford you a greater ability to negotiate price.
Analyze comparable properties: Becoming familiar with comparable properties on the market is key to negotiating effectively. By analyzing comps, you can use their pricing to your advantage.
Pay attention to days on market: The longer a home has been available, the more power you’ll have negotiating for a lower price. Even if you don’t ask to lower the price significantly, you can still negotiate for contingencies, seller concessions and repairs.
Tips for Sellers in a Buyer’s Market
If you find yourself selling your home during a buyer’s market, do everything you can to make yours stand out.
Make repairs: Since there are more properties for buyers to choose from, you’ll find that they can be pickier. You’ll want to do any necessary repairs before putting your home on the market and consider making minor improvements.
Clean and depersonalize: Spend a lot of time considering how others will view your property. If buyers can’t envision themselves living in your home, they won’t make offers. So, do a deep clean of your home, get rid of any clutter and touch up your landscaping in preparation. As you clean, try to depersonalize your space as much as possible: get rid of family photos, papers, souvenirs and anything else that points to you living there.
Market like a pro: Your marketing will matter even more than it would in a neutral or seller’s market, so make sure you have stellar, professional photos taken of your property. If your home will be vacant or your decor is dated, it’s a good idea to hire a stager. With the assistance of a professional, you’ll be able to transform your rooms, so they look cohesive and polished.
Price competitively: It’s crucial that you ensure your home is competitive by pricing it to sell. Survey similar homes on the market to see what they’re asking. Make sure your asking price is either on par with or lower than the comparable homes in your area. And when you do get an offer, make sure that you judge it fairly. Since you have less power to negotiate, you should consider offering to pay a portion of the closing costs and for any repairs requested.
When buying or selling property, it helps to know where the market stands. As a buyer, you’ll want to purchase a home in a buyer’s market, as there will be an influx of available homes and less competition.