How Does Supply & Demand Affect Real Estate

Real estate is a tangible property made up of property and the ground on which it rests, and while it is immovable, it is subject to supply and demand, much like other assets. This means that, like stock and bond prices, property values are heavily impacted by the law of supply and demand. When there is a greater demand, prices tend to rise; when there is a greater supply, prices tend to fall.

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