buyer seller

Sellers Becoming Buyers in a Sellers Market

Unless you already own another home, most sellers become active buyers, regardless of the market. I know that may sound like common sense, but the biggest trap that sellers don’t consider as they wait, as they wait for “perfect” market conditions, is that a seller’s market can benefit them in a sale, and then hit them as a buyer.

While it’s unlikely this trade-off is a perfect 1:1, the real question you need to ask is: are we upgrading, or downsizing? One of those will impact your negotiation options, while the other may cost you even more as a result of timing. 

For example: You have a 3 bed, 2 bath home. Maybe the kids have moved out in a sellers market. What a great opportunity to sell, downsize, and have the upper hand on negotiations. Since you’re moving into something smaller, of course the price will be lower, but you may face steep competition from others looking to do the same. Or worse yet, from others looking to do the same AND new homebuyers looking for a starter home.

Upgrading? Well, if it’s still a sellers market, then surprise – that seller is going to have people knocking on their door, too, just as you did on your own home sale. 

So what’s the overarching point here? When you’re ready to sell – whether to upgrade, or downsize – just go ahead and consider it now. There are other things to consider such as accrued equity, interest rates, etc. – but if selling is REALLY your goal, sitting around waiting for the market may leave you twiddling your thumbs longer than you’d have hoped.