Princeton Town Topics – Let’s Talk Real Estate – March 26, 2025
ARE BUYERS STILL WILLING TO ENTER BIDDING WARS?
The real estate market has cooled from its frenzied pandemic highs, leaving many wondering if buyers still have the appetite for bidding wars. The answer? It depends.
Rising mortgage rates and economic uncertainty have made buyers more cautious, with many unwilling to engage in aggressive bidding wars. Today’s buyers are focused on value and affordability rather than overpaying in a competitive standoff. Many will walk away rather than escalate their offers beyond reason.
However, in highly desirable neighborhoods with limited inventory, bidding wars still happen—but they’re more strategic. Buyers are selective, often only engaging in bidding wars for homes that check all their boxes.
Sellers who expect multiple offers should price realistically rather than relying on competition to drive up prices. In this new landscape, patience and strategy matter more than ever, both for buyers looking for a deal and sellers hoping to spark demand.
