Moving in a seller’s market can be pretty dicey, especially if you are relocating in the same area.  Today I’m going to share the pros and cons of a seller’s market, so you don’t get caught homeless! 

A seller’s market means there is more demand than supply in housing.  We have a record number of people moving here from states like NY, California, and NJ.  The pandemic has made it possible for more people to work remotely.  Why not move to Stuart, where the cost of living is one of the lowest in the US!  Florida has no state income taxes and you can enjoy year-long sunny, warm weather amongst beautiful beaches.  

Pro’s of A Seller’s Market

Cash in on Equity

Sellers, NOW is the time to get your home on the market and cash in on your equity.  Interest rates are the lowest they have ever been and the demand for housing is high. There has never been a better time to sell in our market!

Little Inventory either Resale or New

Downsizing, upsizing, or moving into assisted living?

With limited inventory of homes, and more and more people moving into Florida, sellers are getting multiple bids on their homes. Highest prices,  Many are selling in ONE day!   You may own a home but want to move into a newer one.  Is it your desire to downsize, maybe even upsize? Well, now is your chance to get TOP dollar.  

Cash Buyers

There are a lot of cash buyers which is great for a seller. If buyers are getting a mortgage (rates are historically low) and your house doesn’t appraise, most buyers are choosing to bring more money to the closing table and continue with the purchase.

Contract negotiations are in your favor and contingencies are being waived!  That means you can pick the closing date and the length of time for inspections.  No other negotiations have to be entertained during the inspection period if there is even if an inspection some buyers are even willing to waive the inspection period to get that home under contract.  

You haven’t found a place to move?

You may consider renting back your home in the sale of your home’s negotiations.  In a seller’s market buyers are more willing to give in to the sellers wishes and may make your transition a little easier, than having to go rent and have to move twice.   

Cons of A Seller’s Market

Competition is tough

Are you looking to move within the same area?  Good luck!  Are you ready to play ball from the other side and try and get your offer excepted?  Are you moving out of state? You need be aware of what the market is like where you are going to move. Housing shortage seems to be a problem everywhere.  Your future move needs to be planned and timed carefully as you don’t want to be homeless. 

Money Talks:  At least 10%-20% down payment cash is a must, or better yet are you able to fully pay in cash? Buyers are having to bid on and compete with the large number of buyers and if you are a buyer out there don’t be surprised if you must bid (even on new construction) and write and offer on more than one house, especially if you are getting a mortgage. 

You need to have a mortgage approval not just a pre-approval and be ready go if you are hoping to be getting your offer accepted in this competitive market.   

Buyers are at the sellers mercy

Buyers are waiving inspections and appraisals to get there offer excepted

Moving to new construction………  build times vary but you will be looking at least 1 to 1-1/2 years to move in time also having competitive bids. 

If you are selling and buying simultaneously, don’t think about writing a contract on another house unless your home’s contract has met all its contingencies and is ready to close. Sellers don’t have risk taking their home off the market in a seller’s market.   

If you don’t find a house or your offers don’t get accepted, you may have to rent, short term or long term.  Even the rental inventory is very scarce, and landlords are receiving multiple offers on each home.  You may have to put everything in storage and rent until you find a home. 

It makes it even harder to lease if you have pets, a pickup truck/commercial vehicle, a boat or 5th wheel you keep in your yard.  

Making a move in this market, you’re going to want to work with a full-time seasoned agent.  Better yet, one that knows the national market, not just the Florida market!  

 If you have questions about moving in this market, or to another state, leave your question below in the comments or give me a call! I can refer you to a great Realtor in your area.  Thanks for watching and Happy House Hunting.