Whether you are buying or selling a home, keeping aware of current market updates is very beneficial. Let’s face it, buying or selling a home is often life changing. Timely market updates give both buyers and sellers relevant information necessary to assist them in making this very important decision. Knowledge of market conditions, current interest rates, projected changes in interest rates are essential components of this decision.
Sellers and buyers of residential real estate need information about how rising or decreasing interest rates affect the local economy, the housing market and how that translate to their bottom line. Timing is also an essential element in the process. Knowledge of the local market, competition, amount of days a house remains active on the market are all indicators of the strength of the housing market.
Typically sellers prefer a “Sellers Market”. This is when there are more active buyers than available homes which usually result in bidding wars driving up prices. Suffolk County experienced a significant Seller’s Market during the last few years. However, sellers should also keep in mind that if they plan on purchasing a new home in the same area, that lack of inventory can impact them on the flip side.
Buyers, prefer a “Buyers’ Market” where there is an influx of available homes relative to active buyers. Purchasing a home during a down turn is usually beneficial, however, buyers should consider the reason behind the lack of active buyers. Market updates can be helpful in determining whether rising interest rates is a deterring buyers from entering the local market and it’s impact on their bottom line.
Market updates that provide information about other areas in the country is helpful to both buyers and sellers as it can give them a blue print of current market conditions in other states. If relocation is an option, this can help them make a determination of where they can get the most bang for their bucks.
Real estate market updates provide value in the form of educating the consumer about both local and national housing statistics.