Health & Fitness
Buying In A Buyer's Market
The dilemma of what to do first in a buyers' market, sell your home first and then buy, or, buy first and then sell your home, becomes less difficult. Sell first in this market.
The strongest segment of today’s real estate market is above $2,000,000, which is up 24% from this time last year, according to Coldwell Banker’s Previews International President, Betty Graham. Smart money is moving, buying in a buyers’ market.
Let’s take a look and see what every buyer can take away from this exciting news.
The first feature of a buyers’ market is the law of supply and demand: more sellers than buyers equals a great time to buy.
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Not only are there many properties to choose from, prices tend to be more flexible, and buyers can often have the luxury of time for looking and negotiating. Because of the length of this cycle, prices have floated down in the last several years. I do not think we will see prices this low again in the Palisades.
Affordability is also a factor. With interest rates at a 50 year low, hovering between 3% and 4%, it’s simply as good as it gets.
Find out what's happening in Pacific Palisadeswith free, real-time updates from Patch.
The dilemma of what to do first, sell your home first and then buy, or buy first and then sell your home, becomes less difficult. Sell first in this market. The home you want to buy will most likely still be there when you are ready to buy, and if not, there will be other alternatives.
If you are at the edge of the diving board and reluctant to take the plunge, let me remind you of what a sellers’ market is. When you are looking, there are few properties on the market in your price range. When a new listing comes on, there are several competing offers in the first several days. Your offer must be free of contingencies in order to be accepted. Interest rates can be double what they are today. The pace is fast and furious. In a sellers’ market, negotiations go like this, ”My way or the highway.”
It seems so intuitive to buy in a buyers’ market, so what’s the hesitation? Some buyers think that they can time the market, and buy at “the bottom.” Making an offer on a listed property creates your own personal bottom, and can result in you having your dream house right now without waiting for the tables to turn.
Price, rates, flexibility, choice, time. What’s not to love?
