It's a Sellers' Market in Sharon MA
You may have heard the terms "Sellers' Market" or "Buyers' Market". We look at how long it will take to sell the current inventory of homes if no new listings come on the market and market conditions do not change. This is also called "Absorption Rate".
Here's how we calculate Absorption rate.
First, we determine the rate at which homes are selling in a specific time period. For example, between November 1, 2012 and January 31, 2013 (92 days) there were 51 single family homes sold in Sharon that were listed in the Multiple Listing Service. Divide 92 
51 to get the rate at which homes sold in this period. 92 51=1.8 That means that fewer than 2 homes are selling every day in Sharon MA.
Second, we take the number of "Active" homes for sale, which at the end of January 2013 was 41 homes listed for sale, and multiply that by the rate at which homes are selling. 41 x 1.8 = 73.8 days. Now, convert this number to months: 73.8 30 days per month = 2.46 months. We can round up to 2.5 and say that the absorption rate in Sharon MA is 2.5 months.
A balanced market is when the absorption rate is typically between 5-7 months. Anything below that is considered a "Sellers' Market" and above that, a "Buyers' Market". It's a Sellers' Market in Sharon MA right now because we only have 2.5 months of inventory.
In a Sellers' Market, there is less inve
ntory and more demand. As we head into the Spring market, this is an excellent time for Sellers to list their homes for sale. Buyers are eagerly looking to buy in Sharon MA. This means there will be competition for homes that are priced properly and in good condition.
If you want to sell your home in Sharon MA and would like to know the market value, call me for a Free Market Analysis. With my marketing plan and proper pricing I can get your home sold! It's a sellers' market in Sharon MA...what a great time to list your home for sale!
For more on the Sharon MA Real Estate Market you may be interested in reading:
Sharon MA 2012 Real Estate Market in Review
Sharon MA Real Estate Market Update January 2013
Sharon MA Real Estate Market Report February 2013
What Your Current Real Estate Agent is NOT Telling You in Sharon MA
Condominium Real Estate Market Report for Sharon MA
When you're ready to get your home sold,
Call me for a FREE Market Analysis of your home!
Nina Rogoff
RE/MAX Executive Realty
The Brand You Know. The REALTOR® You Can Count On!
Tel: 781-883-3764 Email: ninarogoff@rocketmail.com
This is a great explanation, Nina, and I'm so glad to hear that the market has shifted. It will be interesting to see how things unfold this spring.
It is just amazing Nina how your market is so much better for sellers than ours...now those postcard campaigns need to be going strong. Great share on the Sharon MA Market!
Nice to see how things are shaping up in your part of the nation. Thanks for sharing.
Thank you, Debbie! Jeff Dowler is the one who helped me understand the importance of explaining absorption rate to sellers and buyers.
Good morning, Ginny...One of the attractions of Sharon MA is that we're in such a great commuting location for so many industries...either to Boston by commuter rail or car, I-95, I-495, and Route 128...all within easy reach of Sharon. Add to that the feel of a "sleepy" beach town with Lake Massapoag at the center, good schools and a diverse community and voila! you have a town that is much in demand.
Thank you, David. We didn't experience the same kind of massive drop in housing that other markets had. Our recovery is an increase over the past 2 years, but not as sharp an increase as in some parts of the country. Fortunately, we have a lot of constant demand from buyers in Sharon MA.
Unfortunately, Christine, there's also a caution for sellers, too. There's still a market value and listing a home for sale at a higher price than market value isn't going to work regardless of the market. The market value will reflect the demand!