| Over the last several years most buyers and sellers | | | | but if your offer is good many sellers will accept the |
| have dealt with either a buyer's or seller's market. A | | | | conditions of your offer. Your Realtor can write up |
| buyer's market is what the market is called when | | | | the offer so that you have six months to sell your |
| there are more sellers than buyers, so the listings | | | | home before you close on the new home. This will |
| take longer to sell and buyers can really shop around | | | | allow you some time to attempt to sell your current |
| until they find exactly what they have been looking | | | | home before you officially get in over your head with |
| for. A seller's market occurs when there are few | | | | a new home. Again, it's risky to put this into your |
| homes for sale and buyers have a lot of competition | | | | offer, but if you are careful it can work for you. |
| for homes. For the first time in a long time, the | | | | The Bottom Line |
| market is shifting toward a balanced market, where it | | | | The bottom line is that in a balanced market it is |
| favors neither buyers nor sellers. When the market is | | | | risky to buy before you sell. Depending on your |
| more balanced buyers and sellers need to approach | | | | specific market it can take months to a year to sell a |
| the buying and selling of real estate a bit differently. | | | | home, so it's best to wait it out. A good tactic that |
| Great Tips for Those Buying and Selling in a Balanced | | | | many people use in a balanced market is to sell your |
| Market | | | | current home first. This will give you plenty of time |
| Most of the time, those that are selling their home | | | | to decide what sort of home you want, so that you |
| can afford to buy a new home before they sell their | | | | aren't rushing through the home selection process. By |
| old home. In a balanced market this is a very risky | | | | the time your home sells you will know exactly what |
| move because you may be able to find a home that | | | | you want and you can go for it. If it happens that |
| you like before you are able to sell your home. A | | | | your home sells really quickly in the balanced market, |
| balanced market often causes homes to sit on the | | | | that's okay! An interim rental will cost you very little |
| market for a bit longer, so you should be sure that | | | | and will allow you to sell and move out of your first |
| you can afford to have the home sit on the market | | | | home, but continue to keep looking for that perfect |
| for a few months before it sells. When the market is | | | | home to buy. You will also know exactly how much |
| balanced you also cannot count on the selling price of | | | | money you have to put into your new home if you |
| your home, so buying a new home before you sell | | | | sell first, so you can buy a new home with |
| can leave you in a bad place if you don't have | | | | confidence. |
| savings to fall back on. | | | | Another option is to sell your home, but allow 30 or |
| On that note, it's important not to count on a | | | | even 60 days to close on it so you can take that |
| specific selling price in a balanced market. Because | | | | time to either find a decent rental or find something |
| homes sometimes take a bit longer to sell, it's | | | | to buy without rushing. Long closes are often best |
| important to be open about the selling price of your | | | | for all parties, so don't be afraid to ask for a long |
| home if you want it to sell. Buyers are often more | | | | close to give you and your family time to decide |
| picky, so you may have to drop the price of your | | | | where you are going from here. |
| home if you want it to sell quickly. If you count on | | | | Selling first just makes the most sense. Because you |
| the selling price of your first home when you buy | | | | don't know how long your home will take to sell in a |
| your second, you can end up in some serious trouble. | | | | balanced market and you cannot determine how |
| For this reason, it is often best to put off buying a | | | | much it will sell for, it is just the safest route to take. |
| new home until you sell your current home. | | | | If you are a risk taker, than you don't have to go |
| Another option when you are selling and looking to | | | | this route, but most people find that the sell first |
| buy at the same time is make a new buy contingent | | | | philosophy works better in the balanced market. |
| on the first home selling. This can be a risky move, | | | | |