How Absorption Rates Effect You
Today, we're going to talk about absorption rates and real estate. What is the absorption rate, and why is it important?
Absorption is simply the number of months inventory on the market right now, and how long it will take to sell those particular properties if no new homes come on the market.
Nowadays, sellers are inundated with a lot of real estate data from around the nation. In the Wilmington area, the median price of homes for sale is up dramatically from 2010. However, it's important to dig a little deeper and look at the data surrounding your neighborhood in order to really know what's going on.
That's where the absorption rate comes in. We look at recent sales, homes currently under contract as well as Wilmington properties that have failed to sell. We look at data over a two-year time period because the past helps us project what will happen in the future. Lastly, we look at actualy real-time showing reports to see what agents are actually showing active buyers right now, afterall this is the tip of the spear of what's really going on in the market. We can see exactly which way your neighborhood is trending. Once we've examined everything, we will come up with a price for your listing.
If you have any questions, give us a call at (910) 395-1000 or send me an email. We look forward to hearing from you.