Supply / Demand Flashcards
(8 cards)
1
Q
What are the variables that influence supply? (List 4)
A
- Availability of skilled labor
- Availability of construction loans and financing
- Availability of land
- Availability of materials
2
Q
What are the variables that influence demand? (List 5)
A
- Price of real estate
- Population numbers & household composition
- Income of consumers
- Availability of mortgage credit
- Consumer taste or preferences
3
Q
Price and supply are _____ related
A
inversely
4
Q
When supply goes down, prices go ____
A
up
5
Q
When supply goes up, prices go ____
A
down
6
Q
When prices rise, demand goes ____
A
down
Higher prices usually discourage demand among consumers.
7
Q
When prices decrease, demand goes ____
A
up
Lower prices tend to attract more buyers in the market.
8
Q
What are the 4 market indicators? (List them)
A
- Price levels
- Building permits
- Vacancy rates
- Sales volume
These indicators are essential for assessing the health of the real estate market.
