Have you been wondering what are the best times to buy or sell real estate properties? Even though the real estate market is typically busier at certain times of the year compared to other seasons, these fluctuations have more to do with supply and demand than the time of the year.

Real estate investors look at the real estate market to determine the best times to buy and sell properties. They decide whether to buy or not to buy, to sell or not to sell, depending on whether it's a buyer's market or a seller's market. 

If you have a good understanding of these two concepts, you can plan your real estate transaction in such a way that you have an advantage when it comes to property prices.

What Is a Buyer's Market?

This term describes a situation where the supply of property exceeds demand. In other words, there is a high real estate inventory and many sellers are offering homes for sale, but the number of interested buyers is low.

A buyer's market gives buyers leverage over sellers, and they are likely to get a lucrative deal on a purchase. 

The buyer has more time to make a decision because the real estate market is less competitive, and they can purchase their dream home at a much lower price than usual.

What It Means for Buyers

It is best for buyers to purchase property when the real estate inventory is high because the prices are lower. 

Competition from other buyers is also lower during that time. As a buyer, use the following tips to navigate a buyer's market to get the best deal.

1. Get to know the available properties

Before you make the decision to buy or not to buy, see as many properties as you possibly can before you make an offer. 

This isn’t the time to rush to a decision and purchase a home just cause you got a good deal on it. You will eventually find a good home that best suits your needs. 

Besides, you will have a higher negotiation power when you have a plethora of options to choose from.

2. Find out how long the property has been offered for

The longer a home has been in the market, the more you will be able to negotiate for a lower price. You can even have the seller make certain improvements and repairs on the property and negotiate on seller concessions. 

3. Negotiate using comparable properties

This is the other reason why being knowledgeable about the other properties available in your area will help you with. 

Suppose the seller is asking for $800,000 for a four-bedroom house that you are interested in, and you notice that there are several other four-bedroom houses within a price range of between $700,000 and $750,000. 

You can use the price of these other properties to make a case that maybe the house you are interested in is just worth $700,000-$750,000 after all.

Familiarizing yourself with comparable properties will help you negotiate more effectively.

Remember to take into account the amenities in each of the property’s areas. Schools, malls, and lakes/parks can increase the value of a home just as much as the features within it.

4. Take your sweet time

Yes, take your time before making a decision. After all, you have got very limited competition. 

You are less likely to lose that property you are eyeing. Take time to know what properties are available in the real estate market, and to also find out more about these properties. 

Take time to negotiate for the best price from the seller.

What It Means for Sellers

How good is a buyer's market to a seller? Good guess— a buyer's market is not good news to sellers. 

Sellers may find their properties staying in the market for a considerably long period of time without anyone expressing their interest in buying them. 

To successfully make it through this period, a seller has got to put in extra effort to sell their property at a competitive price.

As a seller, use these tips to navigate a buyer's market:

1. Make Your Home Move-In Ready

Buyers are likely to be pickier when they have many properties to choose from. It can be very helpful to have your home in superb condition, with all the major repairs made. 

To attract more prospective buyers, make minor improvements to the home.

If your home is not in such a good condition that a buyer can immediately move in, be open to offering additional concessions. This may include roofing repair or paint allowance or paying the closing costs.

2. Give A Competitive Price

Price your home to sell! Survey the real estate market to find out how similar homes are being priced. 

Set your price either at the same level with these homes, or slightly lower. 

Do not be quick to turn away offers from buyers; it may take a few months or even a year before you receive an offer again. 

Remember you have less power to negotiate. Be patient to negotiate with the buyer and settle for a good offer. 

3. Market Your Property

Market your home as if your life depended on it. As a matter of fact, in a buyer's market, your home's home’s ability to sell will rely on your own or your real estate agent’s ability to market it. 

Make sure that you are utilizing high-quality photos to help market the home. Be sure to bring out the most outstanding qualities of your home. 

A great way to help market your home is to hire a professional stager. They will take the home and create an amazing presentation within it that is sure to help increase offers and get people through the door for open houses and guided tours.

Conclusion

In a buyer's market, the supply of property exceeds demand. Buyers in this market condition have the luxury of taking time to survey properties before deciding to make a purchase or not. 

The buyer has a high negotiation power and can, to some extent, twist the seller's arm to swing the deal to his advantage. Buyers should take advantage of this condition by taking time to survey the market to know the available properties. 

This way, the buyer can get the best deal. The seller, on the other hand, can still get the most out of this condition by marketing like a pro, setting a competitive price, and making sure the home is in the best condition possible.