Where have all the Buyers gone! Sounds like a song title from the old "Kingston Trio" back in the 1960's, doesn't it?
Quite frankly, buyers are scared stiff by all the negative news releases about: over-inflated prices, falling prices, rising interest rates, and the insecurity in their own market area. But the reality is that NOW is still a great time to buy a home if you are wanting to move up, or down, to live in the home over the long haul.
Mortgage interest rates are still hovering around 6% and the economy seems to have stablilized and experiencing some growth in various sectors. It's the "investment buyers" who have decided to take the "wait and see" approach and rightfully so because they typically buy properties which are 20% under-value and take minimal dressing up to "flip" for a profit. They hesitate and rightfully so for their business model.
It take much patience and a lot of education to get buyers and sellers to be active in this climate, but it is DOABLE! Sellers need patience in knowing their property may be on the market for longer periods of time; and they may need to take their property off the market during the slower winter season (if you live in climate regions which get a lot of snow).
Historically, when the real estate market softens and even enters a continuing "slide" many agents jump to other careers, especially if they do not have second incomes (working spouse or significant other). This may be necessary for some, but others who stick it out for better times need to be creative and even revise their business model to ride the small wave until the tide rolls back in.
Buyers and Sellers need continuing education on market changes just as REALTORS need continuing eduction to grow their knowledge of the industry. It is OUR challenge to reassure our customers and clients by helping them adjust to changing conditions as much as it is for us to adjust with changing market factors.
Good luck and much success!
Comments(14)