Almost a year ago I predicted we might see a buyers market. Well… we sure haven’t seen that.
So far all we have seen is a solid seller’s market with inventory sitting just under 4 months in most areas. Anytime we are under 6 months of inventory it is considered a seller’s market. Last year we were seeing 2.5-3 months of inventory in some areas.
You buyers out there might be asking, what do we do with ourselves? My biggest suggestion is to be cautious with your offers. I spent the early part of my career telling sellers a lot of bad news when they wanted to sell. Sellers had purchased in the 2005-2008 time frame and were underwater when it was time to upgrade. A recent example is a buyer who just closed on a home for $180,000 that was listed at $160,000. My concern for this buyer is that they will be under water for quite some time. The advice to be cautious is difficult to hear when you see homes selling with multiple offers and well inflated prices. If you are looking for other strategies to get an accepted offer creatively without over paying look at my blog on 4 Unique Clauses for Real Estate Contracts.
Hang in there. The market will come back around and hopefully into a mixed market. IF it shifts to a buyer’s market you will be in great shape. The longer you wait into a buyer’s market the better as prices have to hit a bottom level at some point.
-Dylan A. B. Diersen
First Weber, Inc
Dylan has been quoted on by national new outlets and has multiple designations recognized by the National Association of Realtors. Also, he has consistently helped more and more people achieve their real estate goals by increasing service. You can see more blog posts at FoxCitiesProperties.com/blog or keep in touch on Facebook at https://www.facebook.com/WisconsinRealEstateExpert/