In this video, you will learn what causes a shift in the real estate market and how it can affect you.
You may have noticed a lot of noise in the media about the markets shifting. Does that mean the real estate market is shifting as well?
To really understand the answer to this question, it’s important to remember that all financial and real estate markets shift. In fact, they are rarely considered to be perfectly balanced for any significant period of time. They are either headed toward a seller’s market or toward a buyer’s market.
In the real estate world, having approximately 6 months of inventory at any given time indicates a so-called balanced market.
Recently, we have been experiencing what is referred to as a seller’s market. This simply means there aren’t enough homes for all the buyers in the market. For home buyers it probably felt a lot like a game of musical chairs! Some buyers ended up sitting pretty, while others simply got out of the game because there weren’t any seats left.
Today, however, our market here in the Oklahoma City metro, has begun to see a shift. There are more homes available for sale (the reason for this is unknown, but we have a theory) and the buyers are trying to decide what to do with the latest raise in interest rates (they are still really good by-the-way). This means that houses are not flying off the market in a matter of hours as in previous months.
What does this mean for home sellers?
What this means for those who are planning to sell a home is that the process won’t be nearly as frantic and haphazard! There will likely be fewer showings over a short period of time and fewer offers. I said, fewer, so that doesn’t mean that in some price ranges there won’t still be multiple offers. The home may not sell immediately, but there is still a good buyer pool out there, so the time on market won’t be significant (for now anyway).
What does it mean for home buyers?
The shift is definitely going to benefit home buyers (not necessarily to the detriment of home sellers) in the following ways:
- More homes available from which to choose
- Time to consider options versus making ill-informed decisions
- Stabilized prices lessening the likelihood of buying a house with an artificially inflated price
- More options for financing closing costs
What impact will it have on people both buying and selling?
For those who need to sell a home in order to buy one, the shift will definitely work in your favor. During a strong seller’s market, offers contingent on the sale of another property are virtually ignored. Now, with the shift, more sellers will consider these offers, making way for families who are upsizing or rightsizing to get back into the market.
Shifts are a GOOD thing!
We here at Buckelew Realty Group believe that shifts in the market are a good thing for everyone over time. They are the great equalizer.
If you have been sitting it out for a while and wondering what the best option is for YOU, please give us a call for a free consultation and home evaluation. Our team wants you to be fully informed and educated about the market and the options available to you BEFORE you decide what your next steps need to be.
Call 405.708.7010 or email us at myagent@buckelewrealtygroup.com.
Now that you understand why the market shifts, click HERE to learn why you should meet with an agent before looking at a home.
