A buyer’s market is the result of the simple economic principle of supply and demand. When there are more homes available to buyers than there are buyers, that creates a buyer’s market. These are the signs to look for:
- Inventory is high as compared to previous months or years.
- There is more than six months of inventory on the market.
- The comparable sale prices are higher than active listing prices.
- Fewer buyers are purchasing, resulting in lower closed sale numbers.
- Median sales prices are declining.
- For Sale signs are staying up longer, resulting in longer days on market
When thinking of selling your home or if you’re shopping homes for sale in Puyallup WA, it’s important to understand the local market. Often people will hear the news or read in the paper about what the real estate market is doing and it’s typically regional or even national market statistics. In Washington, and specifically Puyallup, real estate markets can vary by neighborhood. So it’s important that a buyer or seller understand what the very local markets are doing. If you list your home for too high of a price in a buyer’s market, you will end up selling for far less than if you had priced it to sell in the first place. When you’re shopping homes for sale in Puyallup WA, it’s important to know if it’s a seller’s market. Often buyers will try to underbid in a seller’s market and lose out to a buyer that was likely educated on the current market conditions in Puyallup and came in with a competatvie offer.