When is a market condition generally considered a buyer's market?

A market condition is generally considered a buyer's market when inventory levels exceed demand, meaning there are more homes available for sale than there are buyers looking to purchase. This imbalance gives buyers the advantage, as they have a greater selection of properties to choose from and can negotiate better terms, potentially leading to lower prices.

In a buyer's market, homeowners may need to lower their asking prices or incentivize buyers with concessions to attract interest in their properties. This environment often results in longer times on the market for sellers and can lead to a reduction in home prices overall.

Being aware of these dynamics is crucial for both buyers and sellers in the real estate market. Buyers can capitalize on favorable conditions to make purchases that may have been out of reach in a more competitive market, while sellers need to adapt their strategies to attract buyers in an environment with excess inventory.