The last few years have been anything but "normal" when it comes to real estate. A normal market is balanced between a buyer and seller - one side does not have much of an advantage over the other.
Sellers' Perspective
- Homes priced right sell quickly
- Equity in home built over time
- Homes may stay on the market longer
- Offers received at or close to the asking price
- May need to make repairs and/or concessions
Buyers' Perspective
- More homes to consider
- Less urgency to act immediately
- Home inspections are not waived
- Can request concessions from sellers
- Fewer bidding wars
- Homes are not bought sight-unseen
Different Types of Housing Markets
Sellers' Market- Occurs when there are more buyers than properties available. There is more competition, especially for homes priced right. Buyers may waive home inspections and request for repairs.
Buyers' Market- Occurs when there are more properties for sale than buyers. Homes may stay on the market longer and sellers may have to make concessions and/or price reductions.
Balanced Market- This is the transitional time, normally between three to six months, between a buyers' market and a sellers' market. Residential property prices are stable. Homes are sold at or near the asking price.
Local Market- For the individual buyer or seller, real estate is hyperlocal. Home sales and prices may be influenced in some ways by a community's regulations, economic conditions or other significant factors.
National Market- When referencing this type of market, data, such as days on the market and prices, often reflects a median (halfway between the low and high numbers). Metrics may also only reflect numbers for a specific region (e.g., the Northeast) or just a portion of a region (e.g., the city of Boston).
We know the market can be confusing, but we are here to offer clear, concise information you can trust. Feel free to contact our office. We'd be happy to answer any questions you might have.
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