Which of the following could indicate a buyer's market?

Prepare for the Azure Tide Realty Exam with targeted flashcards and multiple choice questions. Each answer includes hints and detailed explanations. Equip yourself for success!

A buyer's market typically arises when there is an increase in the supply of properties available for sale, combined with a lower demand from buyers. This scenario often leads to stable or decreasing property prices, making homes more affordable for buyers.

When examining the various factors that indicate a buyer's market, an increase in the number of listings suggests that there are more homes available than there are buyers looking to purchase them. This oversupply helps to create a competitive environment among sellers, often resulting in price reductions as they seek to attract buyers. Thus, seeing stable or decreasing prices alongside an increased number of listings is a strong indication that the market is favoring buyers, making option C the correct choice.

In contrast, high demand leading to rising prices (as in the first option) typically signals a seller's market. Limited inventory causing rapid sales (the second option) also suggests increased competition among buyers, reinforcing the strength of a seller's market. Low interest rates attracting more buyers (the fourth option) can lead to increased demand, which theoretically would push the market towards being seller-friendly rather than buyer-friendly.

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