The Town Broker

Archive for the 'Buyers' Category

Real Estate Statistics: What You Need To Understand. (Part 2)

Real estate statistics can be confusing, and real estate is FULL of statistics! In Part 1 of this 3-part series, I looked at market absorption, how it describes the “dynamics” of the real estate market, and how you can use it to your advantage! In this post, I’ll look at another key market statistic: days on market (DOM).

Know The Key Real Estate Statistics To Achieve Success

Days on market measures just what it says…the number of days that a home has currently been on the market. Why is this number so important? Because it can tell what the market thinks about the value of the home.

When a new listing comes on the market, it becomes a little like “NFL draft day”. This is the day when the promising college football stars go on the “auction block” for the NFL teams to bid on.

If you’re a college player and the scouts & coaching staff think you’ve “got the goods”, you might be lucky enough to get drafted in one of the early rounds. You will have commanded a hefty pricetag, and will be well on your way to fulfilling your childhood dreams!! But if you slip to the later rounds, your fate Read the rest of this entry »

Tags: days on market, DOM, Real Estate, real estate statistics

Real Estate Statistics: What You Need To Understand. (Part 1)

Real estate statistics can be confusing. I once had a college professor who said that there were three kinds of lies: lies, damned lies, and statistics. (Actually, I think he stole this quote from Mark Twain. But the concept stuck with me, so I’ll give him credit.)  The phrase describes the idea that numbers can be used very persuasively in supporting an argument (especially a weak one). It also points out that people are often quick to disparage statistics that don’t support their point of view. 

Know The Key Real Estate Statistics To Achieve Success

Real estate is FULL of statistics! In this 3-part series, I’ll take a deeper look at the ones that I believe convey the most important information about any housing market: 1) market absorption, 2) days on market (DOM), and 3) sale price to original list price ratio.

Market Absorption

The market absorption rate is a statistic that describes the “dynamics” of the current market. If we can agree that all markets seek to find a balance between supply and demand, then the absorption rate tells us just how well it’s doing. The number is found by dividing the total number of available listings (those that are fully available to be shown and purchased) by the number of listings that have gone under contract in the past month. The answer to this simple math problem tells you just how many months it would take for Read the rest of this entry »

Tags: absorption rate, market absorption, real estate statistics

5 Reasons Why Westfield, NJ Should Be On Your Home Buying List in 2010!

Westfield IS “Small Town Lifestyle”.

Living a “small town lifestyle” means that there are plenty of things to do, without having to pack the car and make it a full day outing. When my wife and I were looking for a place to call home, we wanted to pick a town where our daughter could ride her bike to the library after school, or walk to the ice cream shop after seeing a movie in the local theater with friends. Westfield is that kind of town. There are so many things for everyone…and many of them within walking distance. Read the rest of this entry »

Tags: downtown westfield, Westfield Buyers, westfield schools