Many times you hear the terms, Days on the Market or the rate of Turnover for the number of homes on the market and then there is the term Absorption Rate. What does that mean? Simply speaking, the Absorption Rate is the ability of the real estate market to absorb or sell all of the houses for sale in a given amount of time. For example, if 10 homes are sold every month and there are 120 homes for sale, it will take 12 months to sell all of the homes currently for sale. If there are 240 homes for sale, the absorption rate will be 24 months or 2 years for all of the homes to sell, this does not take into count the number of houses which will eventually come on the market in addition to those already for sale.
If you would like to sell in 12 months, you need to take the absorption rate into account. In the above scenario with 240 homes for sale, we know that only 1/2 of them will sell in the next 12 months. If you need to sell within the next 12 months you need to price the property in the lower 50% of the price range for similar properties in order for it to sell in the next 12 months. To sell in the next 6 months it would have to be priced in the lower 25% of the competition.
A lot to consider when determining your listing price and what your time frame is to move. Be sure to discuss this with your Realtor and look at all the statistics in order to come up with a reasonable and well thought out price. Things are heating up in the Bennington real estate market and you need to be sure to position yourself in the best possible way for a quick as sale as possible.