It’s the Home and the Area

The “right” home and neighborhood is absolutely critical to long
term quality of life. The right home is best sought in a Buyer’s
Market. Not only is the selection of homes greater, the number of
competing buyers has been artificially reduced. Highly qualified buyers
sit out a buyer’s market due to internal fears from external forces,
(e.g., friends , family, co-workers accompanied by gloomy media
reports). Other capable sidelined buyers are actually sellers waiting
for home prices in their neighborhood to…”bounce back” Flawed
thinking at best.

The Transaction and Condition of Properties

Homes for sale are in their best condition in a Buyer’s Market. Some
sellers want to make their home more marketable. When that seller
becomes a buyer and a seller in a Buyer’s Market, they usually will
have their home in good condition, as is often the case with the home
they are buying. A Buyer’s Market frequently allows the trading-up
or trading-down Buyer full contingencies across the board!
Including but not limited to, condition of the property, financing,
appraisal, disclosure and “sale and close” of buyer’s home
contingencies!

Consumer-Protection Equals Risk-Management

Real Estate Attorneys are swamped with unhappy buyer clients after a
Seller’s Market. Not the case after a Buyer’s Market! Slow or balanced
markets as a rule produce homes in better condition that are sold
with more disclosures, inspections, and contingencies. These
transactions usually allow proper time for buyers to review and
investigate before removing each contingency. It’s hard for
real estate attorneys to put their kids through college when all those
events occur. The chances of these sellers hearing from unhappy
buyers after close of escrow, have been greatly reduced.

Buying and Selling in a Seller’s Market (all bets are off)

Removing or reducing proper procedures that are intended to facilitate
smooth transaction and provide legal protection for everyone
involved. Everyone; Buyers, Seller, Inspectors, and Agents. What’s
the Difference between Ignorance and Stupidity? Knowing Better.
Agents should know better. They don’t. I refer to it as “Agent Driven.”
Listing agents convince their sellers that fast and loose
transactions are the norm. All the long standing proper safeguards
experienced in a Buyer’s Market ~ gone. These Listing Agents actually
increase the legal exposure of the clients they are hired to protect.
After all, it’s disgruntled buyers dissatisfied with their treatment who
file lawsuits, after a fast moving market cools.

The Price and Interest Rate

Some buyers/sellers wait for the best interest rate and/or price lest
they “leave money on the table.” Regardless of why they waited, they
always miss the point and many times a full-fledged Buyer’s Market.
Expect these unsatisfied homeowners to move more often than the savvy
buyer/seller that made all the right moves ~ during a Buyer’s Market.

When a Fantastic Price is Not Good

When one plans to buy and sell simultaneously in a seller’s market,
they receive a lofty price and get to do like-kind as a competing
buyer. Only, more often than not, it won’t be the “right” home and/
or in their chosen neighborhood. Why? Because prices of the limited
numbers of homes in that preferred area have “shot through the roof.”
Image that. Plus, these buyers often have to move twice, selling their
homes and renting before being taken seriously as a “competing buyer.”
Not always the case in a Buyer’s Market!

When Interest Rates go from Phenomenal to Excellent to Great to Good

Savvy buyers and especially ones also selling know that while
interests rates play a role in their purchase, it is one of many,
many factors. These buyers know that a well conditioned home of their
choosing in the right area is the priority. They also have full
contingencies at a Buyer’s Market price and move once. Add-on a
properly executed contract, a smooth transaction more often than not,
and a welcoming walk-through at close of escrow. Buyers and Sellers
shaking hands at the end of a transaction? Only in a Buyer’s Market.

Reducing the Complicated to the Simple

Many licensees have fewer than 5 years in the business and have never
handled concurrent sales and therefore discourage the idea. Just as many
licensees do not possess the negotiating and issue-spotting skills needed for
a positive outcome. Regardless of the market, only a pro will reduce
their client’s legal exposure while simultaneously producing first-rate results.

Pat Kapowich, “Negotiating Smooth Transactions Throughout The South
Bay” SiliconValleyBroker.com