When you buy or sell your home or any real estate property, you want things to run smoothly. This involves having all of the legal issues settled beforehand as well as making sure the signed contract represents your wishes.
Getting the best deal ranks high on concerns, and this is where market timing comes into focus.
Tips for negotiating a buyer’s market
Real Wealth Network states the obvious: you should try to buy property in a buyer’s market. The first rule says you must know what type of market you are in. You can identify a buyer’s market by the presence of lots of homes for sale and few buyers. This can happen because of national economic conditions, or due to a local issue such as a large employer shutting down.
At this time, the buyer holds the most favorable cards. As the buyer, you have the power in negotiations:
- A choice of multiple properties
- An opportunity to start with a low bid
- A chance to ask for concessions
As a seller in this market, you should know your limitations. You could have to leave your property on the market for a long time. You might also have to accept a lower price to sell.
Tips for winning in a seller’s market
A seller’s market happens when too few homes come on the market when many people hope to buy. As the seller, you can hold out for a better price and you can accept the best offer. As the buyer, you should focus your energy on finding the best house and making a competitive offer.
Timing the real estate market remains a difficult task. Doing your homework and making smart decisions is still the best strategy.