Things to expect in a “Seller’s Market”?
If you’ve watched the news in most of the metro areas, real estate is up and you’re starting to hear the words “Seller’s Market.” The Atlanta real estate market for instance is up 30% and there’s not much housing inventory left for many of the home buyers.
If you’re in a seller’s market there’s some expectations you need to have going in.
- Expect to go over list price and compete – in a seller’s market the inventory is lower. Simply economics, supply low and demand high equals higher prices.
- Expect to buy as-is or not get repairs – this is a huge mindshift in the Atlanta real estate market where buyers have for over 20 years gotten some repairs when they buy.
- Expect to pay for more than “appraised” value – it’s not uncommon for homes to be in a bidding war and go over list price only to have the home “not appraise.” Since appraisals are based on the past, they can never be accurate but they are the only tool we have. Buyers will have to come out of pocket if they want the home.