LAW OF SUPPLY AND DEMAND

To understand the differences between a sellers’ market, a buyers’ market, and a transitional or neutral market is to understand the universally recognized Law of Supply and Demand. The Law of Supply and Demand determines market prices and the way in which these prices help shape economic decisions. This law cannot be broken!

Sellers Market

A market that has more Buyers than sellers.

High Prices result from this excess of demand over supply.

Buyer's Market

A Market that has more Sellers than Buyers.

High prices result from this excess of supply over demand.