The real estate industry tends to be very unpredictable and in most cases, much to the detriment or benefit for those involved. So unpredictable and risky is the real estate market in that even the most experienced investor and advisor like Kevin Bratch are sometimes not able to predict accurately the outcome. In such scenarios, all the best they can do is speculating the outcome.
Experienced Real Estate investors and analysts like Kevin Bratch normally determine the buyers’ markets through a six-month sale period. And if the properties put up for sale take approximately six months or more to find buyers, then it turns out to be favorable to many buyers as they will get these houses cheaply. This is what is referred to as buyers’ markets.
In most cases, what influence this situation are market forces of supply and demand. When the supply of homes is on the higher side and buyers have many options at their disposal, then it automatically translates to low property prices. On the flip side, when the supply of homes or property is very low, then the prices tend to be on the higher side.
However, Kevin Bratch observed that due to fluctuations in the market, the forces are never constant. Thus, the supply and demand keep on changing. Factors that determine a buyers’ market include new constructions, mostly speculative, market forces, and demographic patterns of a given area.
By Kevin Bratch - Real Estate Investor
Therefore, according to Kevin Bratch, a buyers’ market is a situation, which only occurs when the property market forces are in favor of the buyer. Such occurrences may be driven by forces such as proximity or location.
