The adage, buy low, sell high is a great concept and one all investors and homeowners wish to apply. Unfortunately, knowing when either of those peak opportunities are the right time can be elusive.
3 Key Indicators Of A Shifting Market
Dated: June 14 2021
The adage, buy low, sell high is a great concept and one all investors and homeowners wish to apply. Unfortunately, knowing when either of those peak opportunities are the right time can be elusive. Since the market has been white hot for over a year, it is imperative to know the signs of a cooling market. You may have been waiting to sell your home hoping to get the maximum dollars. Is it possible you have waited too long? Or is the market about change and NOW is the time to list your home before a downturn impacts your bottom-line? How will you know?
As a real estate professional for nearly 20 years, I have been through the market highs and lows of the 2000s. Following are three key indicators of a shifting market. Consider these indicators for making the decisions to sell your home. Afterall, you want the most profit for your home possible.
1. Buyers' Mood
Buyers control the real estate market. There is a collective shift among buyers that we can feel. It is like a weather forecaster who sees a cold front in another part of the country that is moving toward your area. There may not be anything drastic now. But there is a feeling that something significant is possibly changing in the atmosphere. Likewise, the mood of buyers should be watched closely as they will become more rational and less ravid in home purchases.
2. Buyers' Actions
This is a time when the urgency of buyers decreases, and they become less cooperative to sellers' demands. I recently heard of buyers allowing sellers to stay in their home for months after the closing just to get the home. Those times will become fewer as buyers' moods change.
3. Market Changes
This is a time when there will be fewer showings, increased housing inventory, longer days on the market and a downward pressure on price. This is the time when many sellers ask themselves, "Why didn't I sell when the market was hot?"
The market is still strong, but I have a feeling it is beginning to cool a little. It is not noticeable, yet. Interest rates are still low, demand is still high, but this will not last forever. The collective mood of buyers is starting to change. While it may be like the cold front previously mentioned, it is a cautionary sign to consider your next move in real estate.
From first-time homebuyers to customers of high net-worth, I have assisted people from all walks of life to purchase and sell their major life’s investments - their homes. Whether helping a homeowne....