What is a Buyer’s Market?
A Buyers market is when the Over Supply of inventories in the market either a house and lot or a condominium. If you are a first time home buyer or a second, 3rd time buyer, a buyers’ market is an ideal time to for you to make a move. You might be able to buy a Property for a lower price than in the sellers market. If you are trying to sell your property in a buyers’ market or during recessions, it will take longer time on the market before you will able to secure a buyer due to large number of inventories. Most property owners lower listing price or make more add ons on the property and hire Trusted and Proven Realtor to help expedite the sale.
What is a Seller’s Market?
Sellers Market is when Home buyers are overflowing, or more buyers are ready to buy or invest in properties but limited inventories available in the market. This will turn plenty of buyers lining up for a single Property. It will be a first come first serve basis, sellers prioritize those who can put bigger down payment or earnest money. At his point in time, mostly sellers prepare SPOT CASH payment. A Sellers market is the best time to sell house and lot or Condominium or even Lot only as you could sell your property at a price higher than the average price or at least more than your bottom line.
Buyers must be aware that the seller has the advantage this time. If other buyers are interested in the same property and you are negotiating at the lower price probably it will not work on your favor. Mostly sellers goes to the highest bidder. Working with the best Property Negotiator or Lic. Realtor or Broker would be of great help.
How to Determine if it’s a Buyer’s or Seller’s Market
2020 is the World Pandemic Crisis where the entire world is hit by COVID -19 or Corona Virus 2019. Small, medium or even big businesses are shutting down. The most affected industry are tourism and hospitality and Real Estate. Millions of people lost jobs, and businesses.
What do you think? Will it be Buyers market or a Sellers Market? If you are a small or medium-sized business owner and is affected by recession, you will be forced to close your business, because of loses and may divert into new business. The challenge is how will you start the business? Just like any other successful business tycoons in the world, they also went same way. What counts most is how many times you rise when you fall. Selling properties at lower price would be one option to generate funds to add a start up capital. Now, you know if 2020 is a buyers or sellers Market. Still Working with the best and trusted Realtor matters the most.
In Manila, as revealed by Colliers in an interview with Bloomberg, a reputable news website, it is projected that real estate properties’ prices will drop by 15% this year as it is effected by Covid 19 Pandemic. Sacrifice sales are evident, added to a large number of inventories at the present. However, it will gradually recover towards 2021, as we all see this situation as temporary.
Another indicator of a buyers’ market is when occupancy rates of residential and commercial spaces are dropping. Many property owners are most likely to sell out their properties due to non-profitability and shift to other businesses.
Wise investors who are optimistic enough to take advantage of the Buyers’ market, would meticulously study each of
possible good deals available. After all, real estate investing is always backed by a good ROI in the future
because of it’s value appreciation over time. If you are ready to invest now, why wait? We are on a buyers’ market now.