What’s a Seller’s Market?
A Seller’s Market is a real estate market where there’s Low Supply. The opposite would be a Buyer’s Market when there is High Supply of properties to purchase.
Low Mortgage Rates
For Florida Sellers, who have been Upside-Down and contemplated whether to Upgrade or Downgrade – now is an opportune time!!
WHY do I say this? Well, buyers can afford to buy 10% more home today than in 2014 due to Low Mortgage Rates. The Sellers will get Top Dollar on their current home IF they sell AND be able to purchase a new property for very low interest or cash if they have enough equity, savings or investments.
Ready to Upgrade or Downgrade?
Now is an excellent time to do something about it! So many home owners live in bigger properties than they need. Perhaps their children have left for college and they just don’t need the space any more. Others may have growing families and need the extra space.
It’s a Seller’s Market – we have low inventory and prices have leveled out after the recession. Homes now trade for – fair market price. If the sellers are realistic about their asking price and selling price then buyers will flock to the opportunity while mortgage rates are super low. The seller would also be buying at a great time… It’s a perfect time for Buyers and Sellers to Upgrade or Downgrade!!
Call Susanna (561)827-2952 or request appointment online.
What is “Buyer-Seller Price Equilibrium”?
It is a time in the real estate market cycle when Buyers are realistic about the fair market price. At the same time the Sellers are realistic about their asking price and selling price. For this ideal situation, I have coined the term “Buyer-Seller Price Equilibrium”.
Ideal state in the Florida real estate market
During a Buyer-Seller Price Equilibrium, the exchange of title and ownership of real property is done under win-win circumstances. Think of it as an ideal world, where the selling price of a property is at fair market price.
Luckily, for both buyers and sellers, this is also happening at a time with historically low mortgage rates below 4% interest. As the real estate market is in constant flux, unfortunately the current state will not last forever…
Now, is the perfect time for Buyers and Sellers to Upgrade or Downgrade.
It is truly unbelievable that mortgage rates continue to remain below 4%. The 30-year mortgage rates averaged 3.87% last week – the 28th consecutive week with sub-4 percent rates. The 15-year mortgage rates averaged 3.11%.
Today, home buyers can purchase 10% “more home” than last year. So if you as a buyer qualified for a $400,000 home in June 2014, then you could probably afford $440,000 in today’s market.
If you think like me, you may want to know how that applies to you. Estimate that mortgages average $470/month for every $100,000. In addition, add HOA dues, property taxes and insurance. Some borrowers may need private mortgage insurance (PMI). I can help you find the HOA fees, estimated new property taxes and property insurance quotes.
I highly recommend to my buyers that they get pre-qualified or preferably pre-approved before looking for a home. It’s a fast moving market and they need to be ready to act.
It is a win-win time for both home buyers and sellers!!
I’d be happy to help you!! Please call me (561)827-2952 with questions.
In South Florida in general and North Palm Beach County in particular, the shortage of annual and seasonal rentals creates more buyers. The local real estate market is in a state of “buyer-seller price equilibrium” where the properties are sold and purchased for fair market price agreed by both buyer and seller as a win-win situation without a win-loose or loose-win.
When prospective tenants search for months and months without success due to low supply and high demand of rental listings they are increasingly interested in buying a property. Many buyers are cash buyers but the mortgage rates are also remaining at historical lows. This is a very special time in the real estate cycle where both buyers and sellers can close a deal and both parties feel good about having made the right decision.