What is a seller's market?

A seller's market occurs when the demand for properties exceeds the available supply, meaning there are more buyers vying for relatively few homes. This imbalance gives sellers an advantageous position, often leading to increased competition among buyers and potentially driving up property prices. In such situations, sellers may receive multiple offers, and transactions can occur more quickly than in other market conditions.

In contrast, the other descriptions do not encapsulate the concept of a seller's market. A market with numerous unsold properties indicates an oversupply situation, typically referred to as a buyer's market. A scenario with equal supply and demand represents a balanced market, where neither buyers nor sellers hold a significant advantage. Lastly, a condition of falling property values suggests a decline in market strength but doesn't define a seller's market, as this often occurs when supply exceeds demand or when economic conditions are unfavorable for home selling.