HOUSING MARKET 101

Is this your year to buy a new home or to upgrade from renting to owning a home?  Here are a few things that may help you in your decision making process.

First, there is an ebb and flow to the real estate market and it impacts your ability to make a successful offer on a house.

Second, how can you create leverage to make a confident, smart decision when it comes time to buy or sell?

A little bit of knowledge can go a long way in understanding the current housing market and provide the leverage you need when it comes time to make that big deal.

HOUSING MARKET 101

Here are a few basic real estate terms that you need to become familiar with in order to survive and decipher your local market.

Buyer's Market:  A Buyer's Market exists when there are more properties for sale than active buyers.

Seller's Market: A Seller's Market exists when there are more buyers than properties for sale.

Balance Market: Often referred to as the "Goldilocks Effect", a balance market exists between the buyer's and seller's market when there's between three to six months of home inventory listed at any given time.

The Ebb and Flow Factors: The overall market is influenced by changes in the job market, consumer confidence, lending regulations and zoning laws.  

Unlike the stock market which can change instantly, the housing market is slow-moving by nature helping to prevent the housing market from crashing on a regular basis.

Final Thought:  Real estate is a highly localized industry with wide variations among property values, economic status, and real estate laws that differ from state to state.  It is important, therefore, to pay close attention to your local housing market.

Entering the real estate market with basic "101" knowledge is better than blindly stumbling over great deals.  Understanding your local market will make the biggest impact on your real estate deal.