Whenever I’m asked to discuss the current state of the real estate market, either locally or nationally, I’m reminded of the fact that the demographics play a great deal in assessing where the market is at a particular time.
In other words, which group is actively buying a home, i.e. seniors who are downsizing are a pretty constant group of buyers and sellers because they have the money to take a position in the market but not the unlimited time to wait for the perfect time to buy or sell. Younger buyers are more dependent upon the economy and the security of their jobs, etc. In other words, to get a full picture of where the real estate market is presently and where it is headed in the immediate future, it’s important to understand who has the money and motivation to buy or sell in real time.