Is this a good time to buy?
Here at Rockies West Realty, we’re happy to provide you with current market conditions and explain impact, so you have all the information you need to start working toward your real estate goals. The local real estate market is always changing. It helps to understand how local price and inventory conditions can affect your position as a buyer or as a seller.
A buyer’s market is characterized by a situation in which supply exceeds demand, giving purchasers an advantage over sellers in price negotiations. Houses tend to sell for less and stay on the market for a longer period of time before receiving an offer. The competition in the marketplace exists between sellers, who often must engage in a price war to entice buyers to make offers on their homes.
A seller’s market, by contrast, is characterized by higher prices and shorter sales times. Rather than sellers competing to attract buyers, the buyers compete against one another for the limited supply of homes available. Consequently, bidding wars often transpire in a seller’s market, resulting in homes selling for more than their list prices.
Understanding Market Conditions
The supply of homes on the market exceeds demand.
|High inventory of homes. Few buyers compared to availability. Homes on the market longer. Prices tend to drop.
||More time to look for a home. More negotiating leverage.
The number of buyers wanting homes exceeds the supply or number of homes on the market.
|Smaller inventory of homes. Many buyers. Homes sell quickly. Prices usually increase.
||May have to pay more. Make decisions quickly. Conditional offers may be rejected.
The number of homes on the market is equal to the demand or number of buyers.
|Demand equals supply. Sellers accept reasonable offers. Homes sell within an acceptable time period. Prices generally stable.
||More relaxed atmosphere. Reasonable number of homes to choose from.
Local real estate market statistics provided by the Kootenay Association of REALTORS®.