National Data Market Stats

Housing Market Competition: How to Talk to Buyers and Sellers About It

By Mike Simonsen on January 13, 2021

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Mike Simonsen

Mike Simonsen is the founder and president of real estate analytics firm Altos Research, which has provided national and local real estate data to financial institutions, real estate professionals, and investors across the country for more than 15 years. An expert trendspotter, Mike uses Altos data to identify market shifts months before they hit the headlines.

Do you have a buyer or seller wondering what they're up against in terms of competition? Have them look at the Altos Market Action Index (MAI) to gauge whether it’s a buyer’s or seller’s market, and then look at Days on Market (DOM) in their price range to see how fast the market is moving.

Alexandria_VA_22304_mai

Depending on what your data shows, potential responses you could share include:

  • “The MAI is showing that it’s a buyer’s market right now, so you may not have as much competition from other buyers.”
  • “It’s a strong seller’s market right now, which means that inventory is very low and demand is high. We won’t have that much competition for selling your home.”
  • “You can see that properties in your price range in this neighborhood are moving more slowly than in other parts of town. You may have an easier time buying, with less competition.”

Get more data analysis tips in our new eBook, "How to Use Market Data to Build Your Real Estate Business."

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