Absorption rate is about supply and demand.  It should be used to help the sellers understand where their home is positioned relative to competitive offerings in terms of anticipated days on market.  The formula is not complex, but you must have data representative of the specific market your home is in (i.e. size, age, location, features).

If you need to move in 6 months, but the absorption rate is 12 months, you will have to reposition your home such that it will sell in less time.  In our area Appraisers typically do not use absorption rate as part of valuing your home, but it is essential in positioning your home competitively and should be updated every month in a rapidly changing market.

 

 

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Yvette & Dennis Gardner

Spartanburg, SC

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Keller Williams Realty, Spartanburg, SC

Address: 245 E. Blackstock Road, Spartanburg, SC, 29301

Office Phone: (864) 574-6000

Cell Phone: (864) 706-3669

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