The Housing Market: Supply and Demand

Remember that dreaded economics class back in high school or college? Supply and demand? Well, hopefully you paid attention to your professor, because economics plays a large role in the housing market.

Remember that as the demand for something goes up and the supply goes down, the value and price go up? And likewise as the demand for something goes down and the supply goes up because there's more available, the value and price go down?

Now in terms of the housing market, as the supply of housing went up and the demand fell, the values and prices fell. Many people do not think of the housing market in this way. All sellers think that their house is worth more than they paid for it, which isn't always the case. Since there are fewer buyers out there nowadays, they truly have the upper-hand in most cases. Once demand for housing begins increasing, we will see the supply decrease and the value and prices will begin to rise.

Thinking of selling your home? At least we are in the prime summer months where showing activity is generally higher than other times of the year. Contact me today and I will share my marketing plan with you. When you list with me, you also get a free home staging consultation! Call or email me for more details! 708-307-9616 or sales@ashleywydra.com

- Ashley