Buy Home

An Article by http://www.SellHomeHouse.com !

How can you tell if it is a buyers or sellers market?

-Look at the amount of time it is taking houses in the area to sell. Are houses staying on the market for months at a time, or are they selling just a few weeks after going on the market? You can get this information from your agent, and you also usually find it online. The standard figure is if houses are selling in less than 6.5 months, then it is a sellers market-and if most houses are taking more than 6.5 months to sell than it is a buyers market.

-Look at the amount of time that houses are staying on the market compared to a year ago and 2 years ago. If it takes more than 90 days than last years average time on the market then it is a buyers market, and if less than 90 days than last years average, it is a sellers market.

-Track how strong the market is by looking at other houses on the market. Look at house that have just been sold-did they get their original asking price, or did they have to come down once, or even several times? If sellers are having to do frequent price cuts to interest sellers, then it is probably a buyers market.

-Look at the inventory-how many houses are on the market in your area? If there are a lot of houses, then your house might be harder to sell for a few reasons. First, every seller is competing for a buyer, and many are willing to offer incentives (closing costs covered, free washer/dryer, etc) to bribe the buyer to buy their house. Also, when there are lots of houses on the market, the buyer is able to shop around and truly find what he wants….you don’t have a fireplace in this house? Well you can bet the buyer can find a comparable house that does have a fireplace. When there are lots of houses on the market, it is a buyers market.

-Ask a realtor- While you can look up statistics online, these are national statistics that try to predict the housing market across the country-something that is difficult to do because real estate is mainly a local economy. Talk to realtors in your area, or go online to RealtyTrac, and visit “Local Market Conditions.” This is an area in which realtors can discuss their local markets-although you need to be a little wary, as the agents have an agenda-they have to pay to post online, and so they are trying to advertise their services at least a little. Between personally talking with realtors in your area, and looking up local statistics online, you should be able to get a good idea of how your realtor feels about the market.

Many things influence changes in the market, and just because it is a buyers market one month does not mean it will be the next. Keep checking back, and doing your research so you can find the best time to sell your home!