Thursday, August 4, 2022 / by Laura Larson
Even if there are more houses for sale this year than last, the housing market is still undersupplied. And that indicates that the current market is still in favor of sellers. This is because the number of available properties for sale might indicate whether buyers or sellers are in control. Consider it like this:
- A buyers’ market is when there are more homes for sale than buyers looking to buy. When that happens, buyers have the negotiation power because sellers are more willing to compromise so they can sell their houses.
- In a sellers’ market, it’s just the opposite. There are too few homes available for the number of buyers in the market and that gives the seller all the leverage. In that situation, buyers will do what they can to compete for the limited number of homes for sale.
- A neutral market is when supply is balanced and there are enough homes to meet buyer demand at the current sales pace.
How Does This Affect You?
Even though the market is slowing down, the situation is still favorable to you. You'll make a good deal selling your home today if you collaborate with an agent to set the price at the market level. Despite the fact that buyer demand is waning as a result of rising mortgage rates, properly priced properties are still selling quickly. That indicates that you have time to list your home.