Decoding ‘the Real Estate Market’ for Home Sellers
Just like buyers, home sellers need to understand the type of market they’re selling in.
Whether it's a buyer’s market, seller’s market, or balanced market, the dynamics of supply and demand play a huge role in determining how fast your home sells and for how much. Knowing what to expect in each market helps you make informed decisions about pricing, negotiations, and closing.
Let’s dive into what each market means for a seller by following a hypothetical couple, Megan and Tom, who are selling their home in three different markets.
How Market Conditions Affect Selling Your Home
Buyer’s market, seller’s market, and balanced market—these terms get thrown around a lot, but what do they actually mean for you as a seller in Alberta Arts, Richmond, or Lents? Understanding these differences can help you set realistic expectations and make informed choices throughout the process.
As real estate professionals, we use local data, market trends, and conversations with other Portland agents to guide sellers on the best approach for pricing, negotiating, and timing their sale. Here’s what that looks like in action.
Selling in a Buyer’s Market
A buyer’s market happens when there are more homes for sale than there are buyers. This means homes sit longer, price reductions are common, and buyers have more negotiating power.
Mark & Alli in a Buyer’s Market
Mark and Alli are selling their North Portland home at a time when inventory is high and buyers have plenty of options. To stay competitive, they work with their agent to price aggressively from the start, knowing that overpricing could leave their home sitting for months.
Even with the right price, they wait weeks before receiving an offer—and it’s lower than they hoped. They negotiate but ultimately agree to cover closing costs and repairs to secure the deal. In this market, sellers need to be patient, flexible, and strategic to attract serious buyers.
Selling in a Seller’s Market
A seller’s market is when there are more buyers than available homes, creating competition and pushing prices up. Homes in Mt. Tabor, Sellwood, and Woodstock often get multiple offers, sometimes above asking price.
Mark & Alli in a Seller’s Market
Now, let’s say Mark and Alli list their home in a hot seller’s market. Their agent suggests pricing slightly above recent comparable sales, knowing demand is strong. Within days of listing, they receive multiple offers, including one well above asking price with waived contingencies.
Since they hold the advantage, they take their time reviewing offers and choose the one with the best terms—not just the highest price, but also a quick closing and minimal repair requests. The buyers, eager to win the home, don’t ask for much after the inspection.
In this scenario, Mark and Alli have more control over pricing and negotiations, leading to a faster and more profitable sale.
Selling in a Balanced Market
A balanced market means the number of buyers and homes for sale are relatively even. Homes in Hawthorne, Eastmoreland, and Alberta sell at fair prices with moderate competition.
Mark & Alli in a Balanced Market
Mark and Alli list their home at market value (or slightly below to be the best price when compared to other listings) and receive a solid offer within a few weeks. The buyers request some repairs after the inspection, and the couple agrees to fix the major items but negotiates on the smaller ones.
In a balanced market, pricing and negotiations feel fair on both sides—buyers and sellers work together to finalize the deal without major advantages or setbacks.
What This Means for You as a Seller
The type of market you’re selling in will influence your experience, but working with an experienced real estate agent is key to navigating any market successfully.
Buyer’s Market: Expect more competition from other sellers and be prepared to negotiate on price, repairs, and concessions. Your home may take longer to sell.
Seller’s Market: You’ll have the advantage, with strong demand, faster sales, and potential multiple offers above asking price.
Balanced Market: Sales move at a steady pace, with fair negotiations on price, repairs, and closing terms.
If you’re thinking about selling in Portland’s dynamic market, let’s talk strategy. Call or text us at 503-951-8547 to discuss the best approach for your home sale today.
At Campbell Salgado Real Estate Group, we understand that selling your home is one of the most important financial decisions you’ll make.
With over a decade of experience in the Portland and Vancouver metro areas, we’re here to guide you through the selling process, whether you’re in a buyer’s market, seller’s market, or balanced market. Our goal is to help you sell your home quickly, for the best price, with minimal stress.
If you’re ready to sell or have questions about the current market conditions, text or call us at 503-951-8547. We’d love to help you make your next move!
