Scott DiSarno | After over a decade, as a Real Estate Licensed Salesperson, in the State of New York, I have witnessed, many different real estate markets, and tendencies! Why are there, certain times, when prices appear to be rising, significantly, and houses, appear to be flying, off the market, and get sold quickly? Why do, we also, often witness, periods, when prices drop, and unsold properties, seem far more common – place? How about, the many times, we’re experiencing, conditions, far more, in – between? It’s important to understand, there are 3 major types of real estate markets: buyers; sellers; and neutral/ balanced. This article will attempt to consider, examine, review, and discuss, what causes these, and what they represent.
1. Buyers market: When we experience a buyers market, there are more houses, available for sale, than qualified, potential, somewhat – anxious, buyers! This, generally, creates, dropping prices, and lower demand. Those, wanting to sell their properties, during those times, must listen carefully, to the advice, given, from the chosen, quality real estate agent. He will provide advice and direction, a smarter pricing strategy, and, having the experience, and expertise, to understand these conditions, and promote the finest approach, forward.
2. Sellers market: You know, you’re in a sellers market, when, there are significantly, more buyers, than houses, listed, for sale. However, while the economic principles of Supply and Demand, will prevail, overall, some sellers become too greedy, and discourage some potential buyers. While one’s agent, might use, a far more aggressive strategy, during these times, there is a risk, of overdoing this. That’s one of the reasons, we often witness, similar house, sell at far different rates! Quality agents, must decide, whether, their clients, will benefit, more, in the longer – run, by aggressive pricing, versus, pricing it, right, from the start!
3. Neutral market: Scott DiSarno | When, we witness, considerably, more balance, between competitive houses, and, qualified, potential buyers, we experience, what is often, referred to, as, either a neutral market, or balanced one. Obviously, when there are, approximately, the same amount of people selling, as looking, to buy, the strategy and approach, used, will differ! During these conditions, pricing, it, right, from the start, is even more important, because, shoppers will often, become more demanding, and less willing, to pay, as much as in a sellers market.
Scott DiSarno 