What is market absorption? It is a mathematical approach to determine the rate at which inventory is "absorbed"(engulfed wholly) into the market. Inventory is the number of homes for sale in the market.
A division of homes sold on average over the last 12 months, 6 months and then 3 months will determine the rate at which homes are being sold. This is helpful to the seller who is thinking of selling or currently has a home to sell. If you know statistically how long to expect to market your home for sale, then you won't be as "stressed" about selling it.
In the Manchester NH area for a single family home the number of months to sell a home is: 5.9849246 months.
Keep in mind that:
6 months supply= Balanced Market
Less than 6 months supply= Sellers Market
More than a 6 months supply= Buyers Market
This is much better than market absorption data that was reported in March of 2007 indicating an 8.1349 months supply of inventory. Real Estate is looking up in New Hampshire!
I can see the "hot" markets using the market absorption. There are currently 3 "hot markets" in the Manchester NH area. Do you want to know where they are?
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