Buyers and sellers property market
Buyer’s property market
A buyer’s property market can be defined as a market where properties are more than the buyers. In this case buyer has more choice and negotiating power. In buyer’s market, buyer gets the cheap deal as buyer has more property options.
Seller’s property market
A seller’s property market can be defined as a market where buyers are more than the properties. In this case people who want to sell property has more negotiating power. In seller’s market, seller gets the more value of property due to shortage of properties.
How to know that its buyer’s or seller’s market?
Economic condition:
Economic condition is also a good indicator of buyer’s or seller’s market. The cities with booming economies create lot of jobs with better living facilities. People definitely move towards the cities that have economic boom. In the cities where economy is booming there will be more demand for properties and it will be definitely a seller’s market. On the other hand, cities with declining economies are the cities where property demand is low and it property market will be a buyer’s market.
Property prices:
Property price trends are also good indicators of buyer’s and seller’s market. Property price rise is the indication of fewer properties and more buyers. Property price fall is the indication of more properties and less buyers. When property prices are rising then its seller’s market, but when property prices are declining its buyer’s market.
Housing stock:
Housing stock is also the good indicator of buyer’s or seller’s market. When housing stock is high demand for properties is low. But when housing stock is low, property demand is high. High housing stock means buyers market and low housing stock means sellers market. When property stock is high buyer will get property at cheap price and vice versa.