In a normal Real Estate market, the seller goes high and the buyer goes low and eventually we all meet somewhere mutually satisfying. If agents are involved, it goes a little smoother as well as more predictable allowing efforts to be spent where needed elsewhere. There are no learning curves when professionals are involved only the newness and uniqueness of the transaction itself
NOT A NORMAL MARKET
When you have a sellers market or a buyers market, they are the exceptions to the supposed "normal" market. Why? Because it is slanted in someones favor to prevail or take a stand similar to take it or leave it tactics. What can you do (?) type feelings enter in but the smarter and more focused prevail.
This market comes with its own dynamics. Sellers either don't have to sell or want to sell for the highest amount possible. The only thing that stops them is the appraisal process, the risk of no deal made timely or possible disputes that can take a sale south quickly. Lenders become skittish...
Here, lenders, sellers & the industry itself is held captive by scarce buyers who everyone wants to woo. What makes a buyer choose your property in this market is clear. Location, pricing and condition with tight dollars slanted downward not upward to make the sale. All move eagerly to conclude the deal
FORECLOSURE or SHORT SALES
Predator-prey dynamics flood these offerings with vultures hanging around looking for easy-pickings. Some are bought as keepers while others buy for speculation or investment. Flippers tend to drive the market upward creating a demand along while collecting their profits. Beats Wall Street investing
INVESTMENT ala RENTALS
One of the smartest moves to make if one can is to buy and then rent the property out for a long term hold. Sometimes dicey and difficult to do but once done and handled brings a predictable solid long term result. Even better, a duplex or triplex where you live in one and rent out the others is best bet
ESSENCE OF REAL ESTATE
What drives the Real Estate industry? The core moving factor is the essential "shelter" belief. This is non-negotiable as people have to have a place to stay. Camping out, squatting or living in your car is not allowed in traditional scenes. Convention says: You either buy or rent but you will do either one.
ICING ON THE ESSENCE
Values in Real Estate don't sit idle. There is no doubt that what you buy today will be worth at some point more tomorrow is the rule. Look at what happens: You purchase and dig-in for the long haul. You are now out of the market but still watching it. It goes up and down but then over time decides on UP
All during this the homeowner is paying off the loan and of course protecting the investment. After a couple of decades go by, your payment shrunk but your property went grew. That's a nice place to be. Eventually & for the conservative-traditional bunch, they pay-off the mortgage & live rent free
Real Estate is compared at times as a fast moving train where it slows down long enough for people to either get on board or disembark whatever suits you. What makes it work so well is it is a staple meaning a must have. What kind of "train" trip you have is interesting as it is subjective by choice
I encourage anyone to become a person of property who has long-term plans (at least 5 years) to do so. For those that have successfully participated, it is a nice way to gather and increase wealth while making a living or planning ahead. Real Estate works!
Why anyone would buy or sell remains the Real Estate's industry fuel and food for thought. Those that pause too long usually find out that they shouldn't have as a rule. That's why it is important to consult with people in the industry to help get in or get out successfully and effectively first time.
IN A NORMAL REAL ESTATE?
The reality is that whatever the market is at the time you and it meet-up, it can be said that that market was normal for you and your timing. When you get on or off the so-called Real Estate train still makes for a exciting and meaningful journey.