“How quickly will my home sell?” It’s a question sellers ask all the time, and we get it!
The Time Equation: Market Conditions and Expectations
We consider it a sellers market when there are more buyers in the market than there are homes for sale. Therefore, you can actually expect your home to sell in just a few days. Although, we highly recommend allowing the home to get proper marketing time so you can get the most amount of offers with the very best terms. Now, it’s a little different than that right now with everything that’s going on in the market. Because of the circumstances of our economy, you might want to look at offers as they come in. But again, the market climate and what’s happening always determines if you should allow more marketing time. If there are more homes on the market than buyers, then you can expect a longer time for the home to actually sell.
Absorption rate and why it matters
It’s really important to look at absorption rate in terms of pricing. We use the term “Absorption rate” in the real estate market to evaluate the rate at homes sold in a given period of time. How do we come up with this number? Average number of home sales / total number of homes available. According to Investopedia, a sellers market would have an absorption rate that equals more than 20%, and a buyers market that’s actually lower than 15%.
The 60-Day Yardstick: Unmasking Pricing Precision
Right now in today’s market, if we see a home take longer than 60 days to sell, then it’s usually overpriced. But don’t worry, we will work with you to make sure your home is priced accordingly. We also offer monthly market updates so you know what your house is worth in these ever changing markets.
If you are interested in a monthly market update, send us an email or give us a call. We can provide a report emailed to you every month. After all, as your largest asset, you should know it’s value month by month!