Today I’m coming to you with a quick explanation of a term we throw around a lot in the real estate business: days on market. I’ll start off by clarifying that it’s not a measure of how long a property takes to close. In actuality, days on market is just how long a property sits on the market before an offer is accepted. We like to track the average days on market in our area because it provides us with a sense of how fast the market as a whole is moving.
For example, let’s say a property was listed in today’s hot market and it took the seller one whole day to accept an offer. That would be a days on market value of one, even though that contract lasted 30 days before closing. The hotter the market, the lower the average days on market will be.
I hope this cleared up any confusion you may have had about the term. As always, if you have questions about this or any real estate topic, don’t hesitate to reach out to me. I’d love to speak with you.