Understanding the Meaning Behind “Days on Market”

Homes are continuing to sell at a rapid rate, however, as the seller’s market ensues, there may be a few things that buyers have stopped paying attention to out of habit, one being, the listings DOM, or days on market. First and foremost, you must understand what DOM means, and luckily, it’s quite simple. A listings DOM simply represents how long the listing has been active/listed for sale. 

 

Related: Is This Keeping You From Finding Your Next Home?

 

Understanding the Meaning Behind “Days on Market”In general, a home with a high DOM can scare potential buyer away for a few reasons. The higher the DOM, buyers may spark questions such as:

 

  • Is there something wrong with the house?
  • Is the house overpriced?
  • Is the seller unwilling to work with buyers?

 

Even if there is nothing wrong with the home’s price or any damages/issues, as the DOM starts to creep higher, the listing may lose out of traffic, and thus offers. In many instances a listings DOM can speak to how hot the real estate market is, low DOM often means it is a seller’s market, and while this is true for today’s market, a listing with a higher DOM in a hot market can easily raise red flags for buyers. 

 

On the flip side, some people may see a high DOM as an opportunity. Maybe the seller is becoming weary and wants to get the property sold ASAP, this may mean that you could purchase the home for a bargain. It is also important to note, that a listing’s days on market isn’t always “truthful.” This simply means that if a property was listed and received little to no traffic, no offers, etc., the seller and their agent may choose a different tactic. Homes can be removed from the marked/MLS, and then re-listed, often with an adjusted list price which in turn, re sets the DOM back to 0. 

 

Related: Should I Buy in a Gated or Non-Gated Community?

 

With tactics such as that mentioned above often in play, understanding the “true” DOM of a listing is key. Work closely with your agent to learn the full history of the property you are interested in purchasing. 

 

If you’re currently searching for a new home, are ready to sell your home and need a qualified seller’s agent to assist you, or if you have any further questions regarding Florida real Estate, please feel free to contact our office at any time.