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Buying and Selling Real Estate Blog

Selling Unique BC Properties

Understanding market conditions

Posted by Michele Cummins on May 22, 2014
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The real estate market is always changing, and it helps to understand how market conditions can affect your position as a buyer. Your agent can provide you with info on current conditions and explain their impact on you.


Buyers’ market
The supply of homes on the market exceeds demand.


Characteristics
High inventory of homes
Few buyers compared to availability
Homes on the market longer
Prices tend to drop


Implications
More time to look for a home
More negotiating leverage


Sellers’ market
The number of buyers wanting homes exceeds the supply of homes on the market.


Characteristics
Smaller inventory of homes
Many buyers
Homes sell quickly
Prices usually increase

Implications
May have to pay more
Must make decisions quickly
Conditional offers may be rejected

Balanced market
The number of homes on the market is equal to the number of buyers.

Characteristics
Sellers accept reasonable offers
Homes sell within an acceptable time period
Prices generally stable

Implications
More relaxed atmosphere
Reasonable number of homes to choose from