Are We On The Cusp Of A Buyer's Market

Many people have big dreams when it comes to real estate. It could be taking that first step onto the property ladder, or the long-dreamt moment of selling an existing property and upgrading to something spectacular.

A house is a big commitment, and you want to do everything possible to ensure your transaction is a success. This isn’t always an easy feat in an unpredictable market.

Housing prices have reached unprecedented highs, even as headlines might proclaim that it is – or will soon be – a buyer’s market. The season, interest rates, and the worldwide economy can also affect your moving experience.

What does this mean, and how should it affect you when preparing to buy or sell? In this post, we’ll talk about how to interpret the market and be ready to act when the time is right.

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How Toronto Affects Everywhere, Including Peterborough

Understanding real estate trends doesn’t necessarily begin at home. It turns out that what happens in Toronto will always affect Peterborough and other markets in some way. Housing sales outside the GTA are driven in large part by people searching for a lower cost of living.

Whenever Toronto goes into a balanced or buyer’s market, conditions can shift yet again. Fewer people might be looking to relocate. Demand for housing in Peterborough could fall, and the prices would soon follow.

We are all interconnected to a degree. With that in mind, let’s explore some possible scenarios and what they might mean for your next steps.

What Is a Buyer’s Market?

When someone asks, “is it a buyer’s market,” the real question on their minds is usually “is it a good time to buy a house right now?” In a blog post, we can’t definitively say what is happening in a specific area at a given time. Things are constantly changing, and what is true today might be old news by next week.

Instead, let’s focus on the signs that indicate that conditions might be in your favour.

A buyer’s market is associated with slower housing sales, which is a combination of an abundance of available listings and not enough people looking for them.
Prices can also be lower during these times, which is an added benefit if you get your timing right.
Houses tend to take longer to sell. Buyers have options and no urgency. They will carefully consider the best path forward before placing an offer.

How do you know if the market is shifting? You can always check the latest report from the Canadian Real Estate Association (CREA) or the local real estate board in your area. Alternatively, a local agent with boots on the ground is sure to be in the know.

Want to know more about buying your first or next house? Check out some of our other helpful articles:

Should I Buy a House Now?

Before beginning the search, many people first look to see what’s happening in the market. While awareness is valuable for strategy, you don’t necessarily want it to be the only deciding factor.

If the timing works out, you are in a great position. You can often have a wide selection to choose from and more negotiating power.

Buying during a seller’s market isn’t always ideal, but it’s not necessarily a dealbreaker, either. Everything in real estate is nuanced. Some buyers don’t have a choice; they must relocate due to a career opportunity or family situation.

Alternatively, you might be searching in an area that runs contrary to overall trends. Or you may have some other advantage working in your favour even when the market is not.

Are you on the hunt for a new home and are wondering what’s available in Peterborough or Kawartha Lakes? Check out some of our featured listings.

What Is a Seller’s Market?

If it’s not a buyer’s market, chances are that current conditions favour sellers. Here are some of the signs to watch out for.

Few listings seem to be available. Buyers must work harder to find a house in their budget that matches all of their criteria.
There may be competition. Other buyers are also in the market. If this surge in demand is also accompanied by low inventory levels, the seller may have the advantage.
Prices might be creeping up. It’s the simple law of supply and demand. If people are competing over a limited number of listings, they may have to offer more for the seller to accept.

Is it time to sell your house? The posts below can help you through your next steps:

Navigating Peterborough Real Estate

Since real estate is dynamic and evolving, conditions can vary from one city to the next, or even from one neighbourhood to the next. In that sense, we can safely say we’re on the cusp of a buyer’s market somewhere!

Only one thing is certain. Everyone with an upcoming move will be waiting on pins and needles to see what will happen next.

When “For Sale” signs start popping up, buyers will get excited over the possibilities.
When houses fly off the market and prices rise, sellers might begin their celebrations early.

Conditions can also be seasonal. If you can afford to wait, the spring market can be fantastic for both buyers and sellers. However, nothing is set in stone, and some people strategically wait for December or summer when there is next to no competition.

Your Lifestyle and Goals Matter Most

How do you know if it’s a good time to buy or sell a house in spite of it all? It depends primarily on your goals and your resources to achieve them.

For the most part, we don’t recommend basing your decision just on outside factors. The market changes, but there are some signs that the time is right for you to make a move.

Ultimately, it comes down to just being ready, both financially and emotionally. As the saying goes, where there’s a will, there’s a way. Fantastic opportunities can come up anytime; the trick is in having an expert by your side to watch for them.

Regardless of the market, it’s always a good idea to talk strategy with an experienced local real estate agent before finalizing any decision.

Are you ready for a change? Our Peterborough real estate agents are committed to helping you get results, whether you plan to buy, sell, or relocate. Reach out to team@jeffandkatie.ca or call 705-243-9797 to start the conversation today.