This means now the buyers have more selections to choose from and will be less likely to have to buy in a hurry. The sellers may face more competition from other homes for sale in the area.
“Home prices have edged down between 3-5%, depending on housing type, in our region since June,” Phil Moore, REBGV president. “This is providing a little relief for those looking to buy compared to the all-time highs we’ve experienced over the last year.”
It has been an interesting year in real estate. It was red hot in the condo and townhome market at the beginning of 2018. Then it suddenly cooled down in the summer months and it warmed up a little bit over the fall as people are returning from their summer vacations. Now that we are entering the winter holiday season, we feel the market slowing down again.
On the other hand, we are getting a lot of calls from developers and their marketing companies about their new pre-sale projects that are coming out. A lot of new home developments are completing with buyers moving in this year. So the developers are starting their next wave of homes to be finished in the next 3 to 5 years. Buyers may have more selections and negotiation power now that the developers are trying to push their pre-sale projects.
So what is the market going to be like for the next few years?
According to this article, Market indicators and what to watch for, if home builders and developers are putting up money to get projects going, it is a good indication that there is demand.
Whether you are buying resale or pre-sale homes, be clear on the reason why you are buying and know your exit strategies in different market conditions before you buy to protect yourself.