This is a common question, and one that can definitely be answered with statistics. To quickly get to an answer, we recommend using the Market Review dashboard, because it gives you a single page view of several metrics at once, with a short history for comparison. A complete explanation is below, and here's a quick chart that shows which metrics to use in making your determination.
High number of units
Low number of units
|Percent of Ask Received (Negotiating Power)||<98% or dropping over time; Power rests with Buyer|
> 100% or raising over time; Power rests with Seller
Days on Market (Sales Speed)
|More days or increasing over time; Homes sell slower|
Less days or decreasing over time; Homes sell faster
|Close Price||Decreasing; Homes sell for less|
Increasing; Homes sell for more
A buyer’s market is one in which there are more properties for sale than there are buyers. This means home buyers have the upper hand and enjoy more choices in properties, as well as more negotiating power when making a purchase. If you’re buying a home, this is the ideal market to do it in.
In a buyer’s market:
A seller’s market is the opposite. In a seller’s market, there are fewer listings than there are buyers, and buyers face stiff competition among themselves. Because of this, they may encounter bidding wars or their home search might take longer than expected. If you’re looking to sell a home, a seller’s market is the best time to do it.
In a seller’s market:
In a balanced market: