Is it a buyer's or seller's market?

Is it a buyer’s or seller’s market? This all depends on what the market/people dictate. Of course there are other factors that play into this but, let’s start by discussing what we are currently living in in the Metro DC market.

The DC Metro market is experiencing low inventory. We are also living in the age of almost free money. Obtaining a loan may get more selective based on the state of the world with the credit score floor, for most lenders, rising. With the floor being higher than it has been to obtain a loan, the rates are at historic lows. This creates an atmosphere that is more beneficial for sellers, making it a seller’s market.

TIPS TO TAKE ADVANTAGE OF THE MARKET:

List your home at fair market value! Too many people try to Jack up the price because there is high demand. This technique does work, some of the time. The best way to get top dollar is to let the market dictate the price.

If you over price the house you will receive “interest” from potential buyers. The interest is “how nice is this place that it’s priced higher than all the other comps?” Once the initial rush of people come through to see this high priced property, reality usually sets in as showings decrease and no or low ball offers (that are usually closer to market value) are your reality. Now the seller frantically start reducing the price trying to catch the market and usually end up with a house that sits on the market for a long time or the seller just gets rid of the property for less than market value.

Listing at market value will attract more buyers. With the access everyone has to the real estate market, it is not that difficult to see what has recently sold in a neighborhood and get a ballpark of what home values in the neighborhood are. If you have a good house listed at the “going rate” for the neighborhood you have a higher potential of getting multiple buyers bidding on your property. This is where you want to be.

Buyers will compete with each other to win the listing and a lot of time this sweetens the deal. Getting the best deal is not only about dollars and cents. Money is not every seller’s motivation so a buyer crafting the best terms may beat a higher dollar amount.

If you have considered selling your home and would like a FREE professional opinion click the learn more button below. I will help advise you and be able to give you some valuable resources to help you through the process.