It is no secret that the housing market is at its hottest peak at the moment. Not only is the economy stabilizing profusely, but the current mortgage rates are also at record lows.real estate investing Many experts speculate that now is the best time to invest in residential real estate, as the home median prices are set to rise and go higher by next year.

 To Buy or to Sell?

According to a recent survey conducted by Trulia, it is roughly estimated that over 75% of average Americans regard this season as the best time in years to buy a home and invest. However, in a shocking twist, only 32% of the sellers are willing to sell off their property at the moment, despite the growing demand for real estate in the market.

Most of these sellers are actually waiting for the home prices to rise so that they can get their hands on a more attractive deal.  This reluctance in selling off the homes is actually the main factor that has triggered a shrinking market inventory in the past couple of months, and the competition in home prices and real estate deals is fiercer than ever.

Inventory Decreasing by Leaps and Bounds – What’s the Rush?

According to the statistics collected by realtor.com, the housing inventory has dropped by a stark 15% as compared to last year, and this is perhaps the main reason of the median prices of residential homes are also increasing around the country.

The situation is not only favorable for homeowners who want to avail the perks of low mortgages and affordable prices at the moment. The rising demand for residential real estate is also opening doors for many new investors to try their hands on real estate dealing.

As the number of available houses in the market is so low, many investors have turned towards investing in foreclosed or distressed properties and then flipping them off for a profit. Though the deal may sound to be a long shot, it is actually paying off to be a profitable venture for most because of the unbelievable competition in the market.

However, the quota for frauds and losses due to property flipping are at an equally alarming margin and hasty decisions in sealing a real estate deal can turn out to be more of a hassle than advantage. Property flipping losses are generally a direct result of lack in planning and resourcing.

Tips for Investors to Avail Great Deals within Limited Choices

For serious buyers who are looking for attractive deals, research and market analysis is of extreme importance. Asking around the prices and then making viable offers can help you get ahead of other buyers and you can get your hands on a real estate venture that actually pays you off positively in the long term.

Getting in touch with reliable and established real estate companies is also a good idea, as they are more accustomed to the trends of the market and can guide you in making an informed decision that poses the minimum risk.

Whichever way you choose to go, make sure you pay attention to the location, neighborhood and other market trends to avoid any possible price fluctuations in the future!

Source: Survey statistics by Trulia and Realtor.com