There are very few things in life that we can control. The real estate market is not one of them. Markets rise and fall. Prices go up, and prices go down. While we can’t control the market, we can control our response to the market.
The Market Will Inevitably Shift
When a shift in the market occurs, what is your response? Do you duck for cover and wait it out? Or, do you look for opportunities? Today’s market is a perfect storm. Interest rates remain historically low. Prices have stabilized. Days on the market have increased.
As a Seller, the proper response to a shifting market is to prepare and price your property well. If you’ve owned your home for more than a few years, you’ve built up equity. Don’t be greedy. The key is to get in front of the curve by pricing competitively. Be realistic and rest assured that if you’ve owned your home for more than a few years, you’re still making money.
Are you a Buyer? Think affordability index. Even if prices decrease further, the cost of borrowing will likely increase. Take advantage of today’s great rates! It’s more affordable now than it will be if rates rise. Plus, Sellers are more inclined to negotiate. What’s a good response to today’s market? Buy. Plain and simple!
Control What You Can
You can’t control the market. But, you can control your response. Be informed. Think strategically. Get good counsel. Respond intelligently. Whether you are selling or buying, you can control your own decision-making. And good decision-making is always the right response.