Who Has the Upper Hand in Today’s Housing Market?

Knowing whether you’re in a seller or buyer market can completely change the strategy you us (and what expectations you should have).

One Number Tells You Who Has Leverage

There’s one number that tells the story faster than anything else: the months’ supply of homes for sale. It’s the clearest signal of who has leverage – and what strategy you’ll need.

Imagine no additional homes were listed starting today. Months’ supply tells us how long it would take to sell everything that’s currently on the market based on today’s demand.

Generally speaking, if months’ supply is:

• Fewer than 4 months: Sellers usually have the advantage.
• 4 to 6 months: Buyers and sellers are on more equal footing.
• More than 6 months: Buyers can usually negotiate for a better deal.

Right now, the National Association of Realtors (NAR) data says that number is currently 4.6, which puts the overall market in balanced territory. The market has finally moved back into a much more balanced range after years of being in sellers’ favor. While that may look like the scales have tipped only slightly, it’s enough to make a real difference in what strategy you’ll need for your move – at least in most places.

The Biggest Mistake You Can Make Right Now

The biggest mistake isn’t thinking it’s finally a buyer’s market. And it isn’t thinking it’s still a seller’s market either. It’s making any assumption without talking to an expert. Today’s market is incredibly local.

Very different experiences.

The truth is what’s happening in your back yard affects everything from pricing your house to making an offer to negotiating repairs or concessions. And that’s why an agent’s local knowledge matters more now than ever before.  Your plan has to be based on your neighborhood – and a REALTOR has the expertise to get that right.

Bottom Line

This market isn’t one-size-fits-all.  If you’re wondering who has the upper hand where we live, let’s talk. I’ll show you exactly what the numbers look like in our market – and what strategy gives you the best shot at getting what you want.