Today I want to talk to you about the current state of the real estate market:

There's 67% more inventory on the market today than there was a year ago at the same time, which is more than before, but we still need way more inventory than we have today. When you start to see listings linger, you need to remember that there are two types of markets: listings that come into the market and sell instantly with multiple offers still happen today, but then you have another group of listings that hits the market but then just lingers.

When you're talking to sellers at a listing appointment, it's important to talk about being competitive or looking at comparable sales data. Comparative versus competitive sales data is a very important concept that most REALTORS never talk about with their seller clients.

A comparative market analysis, or CMA, is what most REALTORS use to determine a home's value compared to...

Why is list price versus sales price such an important number to know and master in your market?

Here's the answer:

Buyers and sellers need to understand that when they're making or accepting offers, this number will have impact. And I'll give you an example:

Every buyer wants to get a great deal, right? Every buyer wants to feel like they're beating the market. So when we sit with a buyer, we need to educate them about what's happening in the marketplace. For instance, in my market today, sellers are receiving on average 99% of list price. Some are getting much more — they're getting 105% or 106% of list price. But the average in our market is 99%.

So with a buyer, what I'll say to them at the beginning of the relationship is:

"Hey, you know, many homes sell for full price in our current market, or even over full price. But the average is 99%. The key is to see how aggressively the sellers price their home compared to other listings in the area....

According to Barron's magazine "The Mother of all Bidding Wars is Coming" 

They point to several key factors:

• The Mortgage Bankers Association Purchase Index for the week ending on June 5 was up 13% from the same week a year ago.
•  Robert Shiller, who predicted that house prices in the suburbs would rise faster than those in city centers in coming years, as buyers, now practiced at working from home, seek more social-distancing space.

• Glenn Kelman, CEO of Redfin (RDFN) says traffic growth for his online listings for houses in suburbs and small towns has outpaced that for in big cities by 164% over the past two months.

• Inventory of existing homes for sale was the lowest on record for the month, according to the National Association of Realtors. And bank forbearance has reduced foreclosures, further restricting supply. How do you thrive in a low supply market?

Watch this video for tips on working with buyers and sellers when inventory is at all time low and bidding...