Timing and Market Entry
The pricing of real estate is always a moving target. It acts similarly to financial statements in the accounting world. As @ is terminology we are all familiar with. The sale outcome is based upon 4 factors; PRICE, CONDITION, LOCATION and TIMING. Realtors attempt to gauge how all these elements come together to provide you with as accurate a snapshot as we can based upon a moving target……which is timing.
In a Spring market, timing is so vital as inasmuch as the newspaper reports the market, the news comes AFTER so we hear what happened, not, what is happening as the market evolves. Various housing styles operate differently at different times. If we think of life stages, it starts to make some sense.
The Spring market typically starts somewhere in January after the holiday season. Why? Because that is when your family buyer starts to consider a move-up. That process can take 3-6 months. Why? Because moving up take a lot of thought and even more education. And, because the family home often doesn’t get listed immediately.
Once the family buyer buys, their homes start to come on the market. These are often the smaller homes most suitable to the first timers. When the snowbirds arrive back into town, that end of the market starts to make its move. When? In line with tax season….that looming April 30th deadline brings the more mature seller/buyer back into town to prepare their homes, so, either that home is a family home, or, it is a condo apartment, dependent on age.
Then, to add to all this confusion, we have the unfortunate circumstances of death and divorce. These situations throw the curveball into the mix. This is why when your Realtor provides you that snapshot in time price range, we are simply trying to give you a range which will cover off a moving target and that is not as simple as it looks.