What's in the mind of today's buyers?
Just a few years ago, home buyers were in the driver’s seat. They had plenty of homes to choose from and all the time in the world to decide.
It was in the midst of the mortgage crisis, and everyone was in a panic. And many buyers were afraid to purchase while prices were declining.
After five long years, the market started moving in the other direction. Thousands of homes were purchased by investors and hedge fund companies looking to cash in on this once in a lifetime buying opportunity.
When homes started flying off the shelves, the tables turned.
And they turned so quickly that it seemed like Nashville went from a buyer’s market straight to a seller’s market with no stops along the way.
It’s been more than 10 years since we had a sustained, balanced market in Nashville, and all this craziness takes it’s toll on the people who live here.
For the most part, Nashville has a predictable buying pattern. January and February are typically the slowest sales months of the year. March - July is the busy season where sales ramp up each month and peak at the end of summer. From August through the end of the year is a slow decline in sales to about 75% of the peak volume at year’s end.
Some years we get a summer slump in late July and August when people are taking last minute vacations and getting ready for school to start.
And this year’s slump caught buyers off guard with a slight decline locally and the national news reporting on a declining market in some areas.
Here’s an example.
We had several buyers interested in one of our recent listings. One particular buyer liked our listing and a few others. They did not decide to submit in an offer until we received one from another party. Then they decided that they had to have the house. When their offer was rejected, they were devastated. All these emotions within a 12 hour period.
I get it because it’s human nature to want what we can’t have. But this roller coaster ride of emotions is not good for the market in general. A decade of people being scared of the market is bound to have long term effects.
What buyer’s want most is some safety and stability in the market. As a seller, if you can project that with your marketing, you will attract a better group of buyers.