We had a red-hot market with so many offers and buyers, and when we shifted to a more normal market, people felt that was a bad thing. In reality, it’s healthy. The market will ebb and flow — that’s normal economics. Any state of the market can bring problems, and we were seeing three problems earlier this year that the slower market fixes:
1. We saw a lot of buyers who weren’t serious, which sometimes distracted from the more serious buyers. Now that the market is slower, fewer buyers are backing out of the process.
2. Buyers didn’t always have time to do their due diligence. We’ve seen buyers of properties we were selling get into a bit of trouble because they didn’t have time to do this research. A slower market lets everyone take their time and make sure everything is in order.
3. It was hard to transition homes. With the market that competitive, people were wondering how they could get a new house if they sold their old one. That’s why we had so many leasebacks or other creative solutions to this problem. With a slower market, this is not as big of an issue.
When there’s a change in the market, it isn’t negative; it just changes how we do business. If you have any questions about the state of the market or anything else real estate-related, don’t hesitate to give us a call. We’re always here to help.