Apr 18, 2023 | Real Estate
In the realm of real estate, market conditions can differ significantly due to a variety of factors. One such state is known as a sellers’ market, which typically benefits those wanting to sell their property. Let’s dive into what makes a sellers’ market advantageous for homeowners looking to offload their house and why it’s an attractive option for buyers too.
A Lack Of Inventory
The lack of available homes creates supply-side pressure in a sellers’ market; there are fewer houses on offer than there are prospective purchasers searching for them. This scarcity could be attributed to many reasons including economic prosperity, increased employment opportunities, and favorable mortgage rates – all encouraging people not to part with their homes under current circumstances. Therefore, buyers must compete over limited options, driving up home prices, resulting in great returns for vendors who may receive multiple offers from interested parties pushing sale costs beyond listed amounts.
Greater Demand For Homes
When demand exceeds supply you know you’re likely dealing with a seller’s paradise – but even though they hold the power when house hunting season comes around each year – smart shoppers can also take advantage if they play by the rules: move fast when you see something that fits your criteria because someone else probably has too! On top of this, make sure you have pre-approval from lenders so vendors will consider your offer seriously among others vying fiercely against one another.
Low Rates Of New Construction
In a seller’s market, construction companies often do not build homes as quickly. Maybe there is a labor shortage, or perhaps they don’t have the supplies they need to turn around homes quickly. Limited new construction could be driving demand, which could mean lower opportunities for buyers, increasing the demand for the homes that are still available.
Understand What It Means To Be In A Seller’s Market
No matter where either side stands within a seller’s market, understanding these nuances will ensure success when navigating through any sale or purchase transaction related matters. Additionally, having access to knowledgeable professionals such as experienced agents or attorneys throughout each step could prove advantageous as they have expertise in many areas, including but not limited to, contract writing, contract review, & negotiation techniques that may come into play during various stages along your journey towards closing day!
Apr 15, 2022 | Home Seller Tips
Many people rely on the price they paid for their home as a starting point for selling, but with the ever-shifting tides of the real estate market, the price paid is not always the best metric to go by. If you’re putting your home up for sale and are looking for the ideal price point, here are some ways you can arrive at a number that will keep potential buyers interested.
Check Out Your Neighborhood
Your house may have a lot of different features than the homes of your neighbors, but checking out what real estate in your area is selling for can still be a good means of determining the price you’ll be able to ask for. Instead of just perusing the pricing, ensure you’re looking at the listings for what’s been successfully sold in your neighborhood as only this will allow you to determine the conditions of the market and what people will be prepared to offer.
Complete A Home Inspection
Instead of being surprised by repairs that need to be completed after an offer price has been accepted, organizing a home inspection before your home is sold can make a difference in the price you’re able to ask for. Not only will this provide you with a determination of what needs to be repaired or overhauled, it can be a boon to potential buyers who won’t have to worry about your inspection revealing any hidden flaws.
Utilize Your Agent’s Advice
Even if you’ve done your research and carefully considered the value of your home, it can still be complicated to come up with the right price, so be sure to enlist an agent who will be able to determine a fair amount with you. Since your agent has no attachment to your home, they’ll be able to objectively strike the right balance between what won’t sell and what’s too low. The right price, after all, may mean you’ll get to spend a lot less time selling it.
There are a lot of factors that go into arriving at the proper asking price for your home, but by organizing a home inspection and being aware of what’s going on in the market, you should be able to arrive at a reasonable sum. If you’re planning on putting your home on the market soon, contact your local real estate professional for more information.
Apr 15, 2022 | Home Seller Tips
Many people rely on the price they paid for their home as a starting point for selling, but with the ever-shifting tides of the real estate market, the price paid is not always the best metric to go by. If you’re putting your home up for sale and are looking for the ideal price point, here are some ways you can arrive at a number that will keep potential buyers interested.
Check Out Your Neighborhood
Your house may have a lot of different features than the homes of your neighbors, but checking out what real estate in your area is selling for can still be a good means of determining the price you’ll be able to ask for. Instead of just perusing the pricing, ensure you’re looking at the listings for what’s been successfully sold in your neighborhood as only this will allow you to determine the conditions of the market and what people will be prepared to offer.
Complete A Home Inspection
Instead of being surprised by repairs that need to be completed after an offer price has been accepted, organizing a home inspection before your home is sold can make a difference in the price you’re able to ask for. Not only will this provide you with a determination of what needs to be repaired or overhauled, it can be a boon to potential buyers who won’t have to worry about your inspection revealing any hidden flaws.
Utilize Your Agent’s Advice
Even if you’ve done your research and carefully considered the value of your home, it can still be complicated to come up with the right price, so be sure to enlist an agent who will be able to determine a fair amount with you. Since your agent has no attachment to your home, they’ll be able to objectively strike the right balance between what won’t sell and what’s too low. The right price, after all, may mean you’ll get to spend a lot less time selling it.
There are a lot of factors that go into arriving at the proper asking price for your home, but by organizing a home inspection and being aware of what’s going on in the market, you should be able to arrive at a reasonable sum. If you’re planning on putting your home on the market soon, contact your local real estate professional for more information.
Dec 2, 2021 | Real Estate
The real estate market has gone through a number of changes during the past few months. When inventory is low, sellers win. They have the ability to pick a buyer, they can make more money, and they can sell a house faster. What are some of the biggest reasons why sellers win when inventory is low?
The Asking Price Goes Up
One of the biggest reasons why sellers win when inventory is low is that the asking price goes up. When there are more buyers than there are sellers, a seller may have multiple offers on the table. Then, the seller can leverage those offers against each other, driving up the price of the house. This could allow sellers to get thousands of dollars over the asking price for their homes.
Sellers Maximize The Return
When sellers drive up the asking price of a house, this also increases the equity they have in their homes. When sellers have a mortgage, the monthly payment does not change much over the life of that mortgage; however, when the value of the house rises, this means sellers have more equity in their homes. They can do a lot with this equity. They can sell the house, pocket the extra equity, and either put it toward a new house or deposit it into their retirement account.
The Seller Can Dictate The Terms
Finally, when inventory is low, sellers have the ability to dictate the terms. For example, a seller might be selling a house that has a wide variety of repairs. When inventory is low, sellers do not necessarily have to do these repairs. They know there are so many people looking for houses that someone will be willing to purchase the house without asking for repairs to be made. Sellers might even ask for cash offers only. This allows the seller to avoid certain closing expenses and walk away with more cash.
Sellers Win When Inventory Is Low
The real estate market fluctuates over time; however, when inventory is low, sellers win. Because there is less competition on the market, sellers can get multiple offers on the table. This allows them to drive the negotiation, getting as much money as possible for their house.
Sep 16, 2021 | Mortgage, Real Estate
Now is a great time to sell a home. Inventory is down to historic lows, according to recent reports, which means it’s a sellers’ market. Yes, many homeowners are reluctant to put their homes on the market for a variety of reasons. However, right now there are four big incentives for homeowners to sell, despite these objections.
Unsure Of Being Able To Find A New Home To Purchase
It is good to sell at high prices, but that might leave a homeowner desperate to find a new home. Not exactly.
Buyers are entering bidding wars in order to secure their new dream homes. Using leverage, a homeowner could sell to a buyer but have a stipulation where they lease their home back to the new owner until such time as the homeowner has time to get themselves a new house.
Uncertainty About Being Able To Obtain Top Market Price
It is understandable that homeowners want to be able to recoup the cost of improvements they have made along the way, along with some profit. When neighbors are getting top dollar, homeowners might want the same kind of guarantee if they put their own home up for sale.
The bidding wars have become so common that it is almost guaranteed that a homeowner will get the asking price at a minimum.
Do Renovations Need To Be Completed First?
It is common for homeowners to “put down their brushes” and think about just moving instead of finishing renovations, but will there be a heavy price to pay for selling an unfinished house?
Not in this market. Currently, buyers are willing to overlook most repairs in order to get into the house they want, including unfinished renovations. If you’re a homeowner worried about every little unpainted patch on the wall, rest assured your prospective buyers won’t even flinch.
Worries About Getting A Quick Closing
Homeowners are worried that they might not get a quick closing. Why? Because the longer the closing date is pushed out, the higher the chances that a sale will fall through.
If you’ve been on the fence about selling, it’s time to choose sides. There’s never been a better time to sell. Talk to your real estate agent today to start the listing process.