What is a buyer's market?

What is a buyers' market?

There is always a market in real estate.  Just as in any product pricing problem, supply and demand determine the price.  If supply is high and the demand is low, this means that there is a large supply of houses and not enough buyers.  Buyers have the power.  Buyers rule the market.  Buyers have their say.  Buyers are determining the price of homes that sell.  Inventory is slightly higher than last year.  There are more houses than there are buyers.   This is a buyer's market. 

Home prices are leveling out or coming down.  Just like the stock market.  You can't time the market.  If you are waiting for the bottom of the market to buy a stock, you will probably miss the bottom, and you will have to buy later at a higher price.  Are you a buyer, thinking about buying that new home, and waiting for the bottom?  Someone else will come into the market, and buy that house, or a similar one, and price starts to go back up again. 

 For anyone considering buying a home, this is a market that has not existed for a number of years.  The supply of homes offers a great selection.  That perfect home is sitting there waiting for the right person to come along and make the right offer.  There is always a right price.  If the seller can't reduce her price low enough to make a quick sale, then she is really not interested in selling and technically her house is not part of the active market.  She has basically taken her house out of consideration for a fair price.   If she really wants to sell, she will lower her price until the house is sold.  If you are a buyer that has identified your perfect home, how long should you wait for the seller to lower the price again?  How much does that particular house mean to you?  Is it the perfect house that you have been waiting for?  Then what are your options?  Make an offer, negotiate, and get that house, or wait for a lower price and risk losing that house.  Is there another house that is just as good?  Look at your risks and compare them to your rewards.  What is your best price? 

IT'S ALL ABOUT THE PRICE.