The real estate market is always changing. It helps to understand how market conditions can affect your position as a seller.
Your agent can provide you with current real estate market conditions and explain their impact.
BUYERS MARKET
The supply of homes exceeds the number of buyers (supply is greater than demand). In this market, prices tend to drop and the homes stay on the market longer. Thus your home may take longer to sell and you will have less negotiating power in terms of the selling price. Fortunately, you will be in the driver's seat when making an offer on your next home.
SELLERS MARKET
The number of buyers exceeds the number of homes on the market (demand greater than supply). In this market prices are increasing and homes sell quickly. As a seller, you will probably have more negotiating power and obtain a higher selling price for your property. Unfortunately, you will be on the other side of the fence when purchasing your next home.
The number of homes on the market is equal to the number of buyers (supply equals demand). In this market, prices are stable and homes sell within a reasonable period of time. It is a calm atmosphere with buyers having a satisfactory number of homes from which to choose.
The single most important decision
you will make with me, as your Real Estate Professional, is determining the right asking price for your property. Once you've achieved a realistic sales price, you can count on your property being professionally marketed and promoted to bring more buyers to your door. You can also expect to sell your home for the best possible price in the least amount of time.
• Your property sells faster, because it is exposed to more qualified buyers.
• Your home doesn't lose its "marketability."
• The closer to market value, the higher the offers.
• A well-priced property can generate competing offers.
• Other Real Estate Professionals will be enthusiastic about presenting your property to buyers.
Many sellers believe that if they price their home high initially, they can lower it later. Often, when a home is priced too high, it experiences little activity. Gradually the price will come down to market value, but by that time it's been for sale too long and some buyers will be wary and reject the property.
On occasion, the price is dropped below the market value because the seller runs out of time. The property sells for less than it's worth.
You may think that interested buyers "can always make an offer," but if the home is overpriced, potential buyers looking in a lower price range will never see it.
Those who can afford a home at your asking price will soon recognize that they can get a better value elsewhere.
As soon as a home comes on the market, there is a flurry of activity surrounding it. This is a crucial time when Real Estate Professionals and potential buyers sit up and take notice.
If the home is overpriced, it doesn't take long for interested parties to lose interest. By the time the price drops, a majority of buyers are lost.
For more information contact Francesca Belle, Sales Representative
EXIT REALTY HARE (Peel) 905-451-2390
