Days on Market (DOM)
In the context of location intelligence and home buying, Days on Market (DOM) is an important indicator of the local real estate market's performance and the desirability of a particular property or neighborhood. It represents the length of time a property has been actively listed for sale on the market, starting from the date it is first listed until it is either sold or withdrawn from the market.
Key aspects of Days on Market include:
- Market demand: A lower DOM generally indicates a strong demand for properties in the area, as homes are selling quickly. Conversely, a higher DOM may suggest weaker demand or an oversupply of properties, leading to longer selling times.
- Pricing accuracy: Properties that are priced competitively and in line with market conditions tend to have a lower DOM, as they attract more interest from potential buyers. Overpriced homes may linger on the market, resulting in a higher DOM.
- Property characteristics: The DOM can be influenced by factors such as the property's condition, size, style, and amenities. Well-maintained and attractive properties that meet the preferences of local buyers are likely to sell faster, resulting in a lower DOM.
- Seasonal variations: The real estate market often experiences seasonal fluctuations, with certain times of the year being more active than others. This can impact the DOM, as properties listed during peak selling seasons may sell more quickly compared to those listed during slower periods.
When evaluating a potential home or neighborhood, considering the average Days on Market can provide insights into the local market conditions and the relative desirability of the area. A consistently low DOM may indicate a strong, competitive market, while a high DOM could suggest potential issues with the property or neighborhood that are causing it to linger on the market.
