When interest rates are falling, the market will generally consist of more buyers than available properties, heating the market up. At these times, bidding competition rises along with house prices. This is the best-case scenario for sellers, but not so much for buyers. What happens in times of a balanced market? A balanced market is when supply equals the number of active buyers. In other words, the demand and supply of properties on the market are equal. Keep in mind, the supply and demand dynamic that we are talking about is for those who can realistically and actively participating in the market. This is not meant to include the fantasy supply that many claim is required to achieve universal housing affordability in Canada. (Please see last week’s post for our thoughts on solving that issue.)&nbsp;&nbsp;According to the Alberta Real Estate School, reasonable, affordable and stable interest rates support balanced markets. They give potential buyers no reason to wait to buy, as they do not anticipate further drops or increases. House prices are also stable at this time because of the even ratio between buyers and sellers; less price fluctuation will occur. Finally, there are a reasonable number of properties for sale, therefore there is no intense competition for buyers. While we may be just a little ahead of a balanced market, once the initial shock of the recent interest rate hikes wears off, it is coming. Let’s get ready.According to TO Real Estate, in a balanced market, buyers are willing to offer reasonable prices and sellers are willing to accept; buyers have some power. They also say that this means sellers should take steps to impress home buyers in a balanced market. As we mentioned, though buyers don’t feel the need to wait, they also don’t feel the need to rush. To lure buyers in, a technique for sales involves properly and professionally staging your home.&nbsp;Staging your property is a key part of the process in preparing it for sale. It shows that you are serious and it tells potential buyers that you are engaged in looking for a business deal. Sure, when you’re home alone you may have on your slippers, that holly concert t-shirt from the 80’s and a house coat. But when you’re inviting guests over you want to look your best. You don’t want your furniture to say “an average Joe lives here”. You set your house up to make it look like someone special lives there. The Rockstar from that 80’s concert, not the Roadie. This provides an opportunity for buyers to see the house in more that its natural state, at its potential, and how it was meant to be: a home. House Grail reports that 86% of buyers can better visualize their house as a home when property staging has been done. In addition, it is reported that buyers are 40% more likely to consider a home when it has been staged. Finally, they report that staging can help sales occur between 6-10% faster than if staging had not been done. Clearly, this is a tool you can use to your advantage in all markets, but especially in a balanced one.This is where companies like Artsy Home Staging come to the seller’s rescue. Artsy Home Staging’s services range from minor decorating to large renovation projects. The team, led by Tony Lai, ensures the value of your property reaches its full potential. With years of unparalleled experience in staging, the team plans the appropriate décor theme that best suits your home. Modern yet stylishly chic, Artsy Home Staging furnishings and design ideas will help showcasing your home at its best, so that your property catches the buyer’s eye.&nbsp;In times of a balanced market, staging can give you a leg up. As we have discussed, no one is rushing to buy a home. Furthermore, the timeframe of a sale may not be as fast as someone expects. A balanced market is characterized by balance, and this includes timelines. This doesn’t mean properties are sitting empty for too long, but it may be longer than you would like. Staging helps to remedy this by speeding up the transaction. As the data I presented above shows, home staging attracts buyers faster, and broadens the universe of potential buyers to include those where the house is not one that they would otherwise consider.&nbsp;

Home Staging and a Balanced Market

When interest rates are falling, the market will generally consist of more buyers than available properties, heating the market up. At these times, bidding competition rises along with house prices. This is the best-case scenario for sellers, but not so much for buyers. What happens in times of a balanced market? A balanced market is when supply equals the number of active buyers. In other words, the demand and supply of properties on the market are equal. Keep in mind, the supply and demand dynamic that we are talking about is for those who can realistically and actively participating in the market. This is not meant to include the fantasy supply that many claim is required to achieve universal housing affordability in Canada. (Please see last week’s post for our thoughts on solving that issue.)  

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