In everyone’s dream world, you put your house up on the market, and suddenly, there are multiple offers – many over the asking price – and you get to pick the best offer. After your house is sold, you imagine finding the perfect home to fit your family’s needs and being able to offer a lower price and receive many concessions to get the best deal possible. That sounds ideal, right?
For this scenario to happen, you would have to be selling your old home in a seller’s market and then simultaneously buying a new home in a buyer’s market. This is a rare occurrence if you’re looking to stay in a comparable location. It’s best to remember if you sell your house quickly and for a big profit, you will most likely need to get competitive when finding your next home to buy.
What is a Buyer’s Market?
A buyer’s market is when supply exceeds demand. This means that there are several homes to choose from, with some homes sitting on the market for several months, leaving the sellers desperate to sell. The buyer has plenty of time to decide and has some leverage when it comes to making an offer and asking for concessions.
Pros of a Buyer’s Market for Buyers:
Finding a home in your ideal location
Getting a deal on your home
Taking thoughtful consideration of each home you see
Negotiating concessions in your favor
Analyzing comparable properties and being educated on the current market
5 Tips for Selling amid a Buyer’s Market:
Make your house stand out, including repairs and new paint and carpeting.
Clean your home thoroughly, and depersonalize the décor so buyers can imagine themselves inside.
Take professional pictures of your home to post on the listing.
Price your home competitively or slightly lower than comparable properties.
Consider all offers.
When selling a home during a buyer’s market, follow these tips to maximize your sale price.
What is a Seller’s Market?
A seller’s market is when demand is greater than supply. This is when there are many people looking to buy due to low-interest rates or a boom in the economy, but there are not enough homes for sale.
Pros of a Seller’s Market for Sellers:
Raising your asking price in response to the buyers’ readiness to bid competitively
Saying no to concessions during negotiations
Choosing the best offer in a bidding war
Selling your home quickly
5 Tips for Buying in a Seller’s Market:
Get pre-approved for a loan before looking.
Act quickly on the house you want.
Think twice before asking for concessions and if it is worth losing the house.
The more money you can put down, the more appealing it is to sellers who don’t want to worry about financing falling through.
Be patient and don’t settle for a home that you don’t like.
It can be frustrating to buy a home in a seller’s market, but if you stay calm, then you won’t overpay for a home that you may not like just because you are desperate. Buying a home is a huge commitment – you don’t want to make rash decisions.
Contact Real Estate Professionals
If you are unsure if it is the right time to sell or buy, you can seek help from experts who know the market. You will be advised on what the right move is for your family's situation. If you are on a time crunch, you can seek counsel on how to best navigate the sale of your home during a buyer’s or seller’s market.
At Blondin Real Estate we are always here to help, contact us!
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