What Is A “Normal” Housing Market?

November 28, 2023

What Is A “Normal” Housing Market?

Pexels Photomix Company 101808 (3)

The last few years have been anything but “normal” when it comes to real estate.  A normal market is balanced between a buyer and seller; one side does not have much of an advantage over the other. 

Buyers’ Perspective

  • There are more homes to consider
  • Less urgency to act immediately
  • Home inspections are not waived
  • They can request concessions from sellers
  • There are fewer bidding wars
  • Homes are not bought sight-unseen

Sellers’ Perspective

  • Homes priced right sell quickly
  • Equity in the home is built over time
  • Homes may stay on the market longer
  • Offers usually received at or close to the asking price
  • May need to make repairs and/or concessions

A Seller’s Market occurs when there are more buyers than properties available.  There is more competition, especially for homes priced right.  Buyers may waive home inspections and requests for repairs.

A Buyer’s Market occurs when there are more properties for sale than buyers.  Homes may stay on the market longer and sellers may have to make concessions and/or price reductions. 

A Balanced Market is the transitional time, normally three to six months, between a buyers’ market and a sellers’ market.  Residential property prices are stable and homes are sold at or near the asking price. 

Pexels David Mcbee 1546168

Currently, we are in a Buyers’ Market and until we can get more of a balance between inventory and buyers, homes will take longer to sell.  Some are waiting for interest rates to drop dramatically, but analysts believe that future “normal” rates for a 30-year mortgage will be around 5% to 6% and truly this will be normal.  The exceptionally low interest rates of 2% to 3% were never normal rates and most likely will not be seen again.  So don’t WAIT for rates to return to that level or you will never purchase your dream home! 

Barbara Meeting

We “Whip It” Good

You Can Trust Whippet Properties

We work as a team and assist each other in any way necessary to assure that every transaction is handled properly. Because we are a small company, we offer exceptional customer service and can be reached for any problems or concerns.

We don’t succeed as individuals but by working together towards a common goal. We win when you do!

585

Homes Sold 1999 – 2022

45

Average sales per year

$110,116,000

Total sales volume 1999-2022

$5,034,318

Average sales volume per year