‘Where is the real estate market heading towards?’ and ‘When can we see some supply and demand balance in the market?’ are probably some of questions asked most frequently by both buyers and sellers. Although it is tough to predict precise answers for such questions, knowing how to take advantage of real estate market when selling your property is highly beneficial.
There are various terms associated with real estate markets such as seller’s market, buyer’s market, and more. You must understand them clearly to be able to know whether they are advantageous to you or not.
Seller’s market or also known as ‘hot market’ is immensely profitable for you if you are about to sell your property. In this type of market, buyers far outnumber sellers. So, it means that all the properties will sell themselves quickly, possibly even at a high price.
Buyer’s market is also known as ‘cold market.’ Here, there will be an abundance of properties on sale compared to interested buyers. This results in the dropping of property prices. You should be cautious when wanting to sell your property in such a market.
Neutral Market is an even playing ground for both the buyers and sellers because the number of properties for sale and interested buyers are almost equal. Prices remain relatively stable with no drastic shift in the prices and the state of the real estate market remains balanced.
We do not recommend you to go ahead and sell your property in a buyer’s market. But if certain unavoidable conditions rise and you are forced to sell your property in a cold market, be prepared to tackle these issues:
► Buyers will ask for huge discounts which may affect your sale to an extent
► Sale prices will also take a dive, and you will receive lower offers that can lead to a loss in equity on your property.
► Buyers become more demanding and may also demand a high-scale maintenance or renovation of the property before buying it.
► You can lose authority over the sales contract, and the customer will resume the upper hand in the situation.
If you put your property on sale in a seller’s market, there are various opportunities for you as a seller. You can take advantage of the excellent conditions prevailing in the market.
► Demand for property will be high so you can set the bar higher and profit yourself.
► You always have the upper hand in the market which enables you to refuse any request for discount or concession.
► You can ask the buyer to pay for the inspection and maintenance. So, you have a chance to sell your property as it is.
► There will be multiple buyers bidding for your property that sidesteps any possibility of contingent offers.
► You can easily retain your control over the contract of sale and negotiate for shorter time frames for closing the deal.
So, if you want to take advantage of real estate market, wait for favourable conditions. If you are not in a rush to sell your property, seller’s market is your chance to reap huge financial benefits.
Property4Value is made up of a network of property experts specialized in selling properties fast without the fee of a middleman or real estate agent. Our mission is to help you sell your property hassle-free so that you can move on with your life with the things that you value the most such as money-can’t-buy-back time and peace of mind.