How To Understand Real Estate Market Signs

March 13 blog - Understand REMarket Signs

Just like any other market, the real estate market has its own set of signs that can help you understand what is happening, so you can make wise decisions with regards to residential and commercial real estate investing. Learn how to understand real estate market signs below.



A house with a for rent sign in the front yard



Real Estate Inventory

One of the most important things to look for is changes in real estate inventory. When there are more homes on the market than there are buyers, prices will start to fall. On the other hand, when there are more buyers than homes available, prices will start to rise. While this is simple economics, it is telling when it comes to real estate investing and there are many strategies you can use when the market swings either way.



A house with a Sold sign out front



Number of Properties Being Bought & Sold

Another sign to watch for is changes in the number of homes being sold. If you see a sudden decrease in the number of homes being sold, that is usually an indication that prices are about to fall. On the other hand, if you see a sudden increase in the number of homes being sold, that is usually an indication that prices are about to rise. As real estate investors we can use this to our advantage.



A person looking at pie charts and graphs on their tablet



Interest Rates

When interest rates are low, the price of borrowing money to purchase a real estate property is relatively low. If interest rates are high, some real estate investors may hold off on purchasing property, waiting for a better economical climate to come. On the other hand, some take advantage of the properties available to them at a time when not many other want to buy.



A stock trading looking at multiple computer screens



The Economy

A strong economy leads to strong real estate investment. When the economy is struggling with issues such as inflation and a rise in the cost of living, real estate investing can slow. That being said, there can be great real estate investment deals in down times and it is the time where we build relationships and educate ourselves to take action when the time is right.




Keyspire’s real estate investment experts can help you learn everything you need to know about real estate investing through our in-depth and educational courses. Get started by signing up for our FREE Masterclass today!

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Kelly Mendonca

Kelly Mendonca is a Communications guru extraordinaire who has served as Keyspire’s Communications Team and Social Media Manager since 2015. She likes all things outdoors including patios, concerts, beaches, lakes, and pizza...all the pizza.

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