“Don’t wait to buy real estate, buy real estate and wait.”
–T. Harv Eker
When you begin a career in real estate and embark on helping clients during their home buying and selling journey, it is beneficial to become more familiar with the different terminology used in relation to the status of the market, and in particular, the difference between a seller’s market and a buyer’s market. Understanding the ways in which these vary can help buyers and sellers to identify what type of market we are currently experiencing and how each of these affects the property sales.
Whether you are interested in learning more about a seller’s market and a buyer’s market or you are a realtor with knowledge of how the market is currently, teaming up with an experienced real estate attorney such as, Kadoch Law Group can help guide you as you steer your client’s in the right direction, in regards to understanding the different ways in which the market can have an impact on real estate.
For example, in a buyer’s market there is typically an abundance of properties for sale. Due to this, prices tend to be reduced and may continue to drop as a result of this. In this kind of market, buyers find that they will need to spend more time on finding a home. Homes will still sell in a buyer’s market, however it is important to ensure that the home is always ready to be shown and priced appropriately. During a buyer’s market, buyers will have more of an opportunity to negotiate prices. This isn’t the case in a seller’s market.
During a seller’s market, inventory is usually thin and therefore, in high demand. This means that there are a higher number of buyers compared to the homes available for sale. When this occurs, prices tend to be high, however since there are more buyers, homes tend to sell very quickly. As a result, during this type of market sellers will obtain more negotiating powers, as they usually will have multiple offers at this time.
At the moment, South Florida is currently in a mature seller’s market, as prices have been increasing and holding for the last several years. However, it appears as though the recent increases in interest rates are slowing sales down. To help better prepare buyers and sellers, it is important to keep an eye out on the trends in the market to see if maybe the tides are beginning to turn.
If you are looking to partner with a knowledgeable team of Real Estate Attorneys and discover more information about the state of the market, this team in Florida will work efficiently with you, ensuring you know what to expect in regards to the type of market we are currently experiencing in Florida. Give us a call and we will provide the best possible service to you, as we do with all of our partners and clients!