Is there such a thing as a buyer’s market? That seems to be the question here in Bakersfield these days. With the market heating up like it has the last several months, if not years, Bakersfield can be a very difficult place to find that perfect property, and even if you do, you will probably have to pay a lot more than you were expecting or hoping. However, this doesn’t necessarily mean that now is a horrible time to buy!
The State of the Bakersfield, CA Market
For starters, much of the buyer’s vs. seller’s market depends on the type of property and where it’s located.
Single-family homes around the median home price for Bakersfield are sold almost as soon as they hit the market, while certain parts of town take forever to sell. The more expensive parts of Bakersfield, like near country clubs or seven oaks tend to be much more difficult to sell at top dollar or sell quickly.
This is simply because more people are looking for affordable housing in good, safe neighborhoods, while fewer people are looking to upgrade into mansions during such an uncertain time as Covid-19 season.
Buyers tend to be interested in the same product. – Most people who are looking to buy a home want to buy in a place that would be good for their family. They want good neighborhoods for their kids to play in, access to safe and reliable transportation, shopping, good schools, and decent commute times. Areas that deliver on all these things are extremely desirable. Sellers of these houses are typically in control of the market at times like this.
Condos and Townhomes – As interest rates plummet, people are much less interested in renting or living in shared spaces when having their own house is so much more affordable than it was even a few months ago! Prices for condos and townhouses are appreciating like other real estate, but their demand is not what it used to be.
Investors Are Still Buying – With tons of foreign money flooding the U.S market, this drives demand up even further. Cash offers are on the rise around the country, and sellers are still trying to figure out how high these investors will go. Many people will throw out astronomical asking prices to see if anyone will pay them, and sometimes they get lucky. However, many of these larger companies that make these high offers tend to back out of the deal as soon as anything gets a little bit hairy for them.
Financing is Difficult to Secure. Banks are getting very strict on people, especially in the current economy. They want to make sure there was no lapse in employment, and since Coronavirus hit the economy the way it did, many people don’t have a perfect employment record for the last couple years. This makes it more difficult for people who would otherwise be great buyers to get the financing they need.
Confused About the Bakersfield Market? Let Us Help You!
There is a lot happening in this insane time we’re living in, and the market is moving fast all the time. We at Buyers of Bakersfield invest here locally because we believe in this community and the people here. If you need to sell a house near Bakersfield, we would love to help you in any way we can.