The Days On Market Debate ~ Who Benefits?

good post with great information. Thanks for sharing it. Bill

Have a fantastic week!

Bill Salvatore, Realtor- Arizona Elite Properties

Buyers are using the 'days on market' as leverage to negotiate sale prices, seeing listings as “stale” if they’ve been on the market for more than a couple of weeks. Lately, there’s been a small wave of homes going 'contingent', only to come 'back on the market'. Other agents I've heard from have said buyers are getting cold feet after realizing the reality of their new mortgage payments. I had a similar experience - buyers backed out after a great home inspection due to last-minute nerves. Of course, when you see “Back on Market,” the perception is immediately that something is wrong with the house, but that’s not the case in most situations lately around here.  When a home has been on the market for a couple of months, buyers often assume they can snag it for a bargain - but that’s not always true. Some homes simply require the right kind of buyer. I once had an antique home and a log cabin that each took many months to sell, not because they were undesirable, but because they appealed to a very specific audience.

Dr. Paula McDonald this is a real good explanation of different aspects of DOM.

Our BrightMLS system will reset the DOM if the property has been off market for 90 + days. I use the DOM analogy to have a Seller price aggressive to possibly attract multiple offers early in the listing. The current market in our area will reflect if the price is right and if multiple offers do come you will find out what the market will bear. 

Dr. Paula McDonald Many buyers and agents also try to use the DOM as a negotiating tool, but it does not always work.

I personally like DOM. It’s a barometer for how the market is reacting to that specific property. It’s not the end-all, but it absolutely has value. I’ve got listings with high DOM for real reasons. Vacation rentals can be tough to show, so access alone can drive days up. Other times it’s pricing, environmental factors, or location. Those are very different situations, and a good buyer’s agent knows how to separate them. That’s really the point. DOM isn’t the issue, interpretation is. Taking it away doesn’t solve anything, it just removes a piece of transparency. It’s a tool, and it should be used as one.

I’ve heard so many opinions about this one that I can’t really land in in aparticular place on this topic. I just want people to get their dream, you know?

Interesting perspectives here, dom is a number but what it really means all depends.  It always bears more investigation  into the specific factor but as menti9ned elsewhere it is not a be all end all.

These are good points to share. Smart agents will know how to use that information for the benefit of their clients.

Hmm, that is certainly an interesting debate, and I am not sure which side I would choose, haha.  Lucky for my clients and me, my listings never accumulate a lot of DOM, unless there truly is something wrong with the property, haha.

I think if you are going to have DOM, then all marketing has to count. You cannot have your cake and eat it at the same time.

Paula, I agree, DOM do tell a story, but not the whole story.   In niche markets, DOM are a bit higher here in Denver.

Great post, Paula and thanks for engaging everyone in this conversation. It's one of many data points that needs to be considered when looking at comps to determine a listing price as well as an offer price. Condition is usually a major factor in higher days on the market. Obvisoulsy, we all know location is another factor. One thing holds true - Price, Condition, and Location all must align. And when they do, Days on Market is usually a non-issue. Thanks again and continued success to you!

Hi Paula,

I tend to look at Days on Market as a useful indicator, but only within the right context.

For mainstream residential properties, DOM can be very telling. If a home that should appeal to a broad pool of buyers is sitting longer than expected, it often points to something worth examining, such as pricing, location, condition, or even how it is being marketed. In that sense, it can be a helpful reality check for buyers, sellers... and agents.

But when it comes to unique properties, luxury homes, or anything outside the “cookie-cutter” market, DOM becomes far less meaningful. Those properties are not about speed; they are about finding the right buyer, and that can take time regardless of price or condition.

To me, DOM should not be eliminated, but it should be interpreted, not relied upon. It is one piece of the puzzle, not the whole picture.

In the end, real estate is not one-size-fits-all, and neither is the meaning behind the numbers.

Interesting discussion. Days on Market can be helpful, but it rarely tells the full story. Condition, pricing, and property type all play a role, and that context matters more than a single number.

I came back to this one to see what people think about all of it. Ultimately, I think the days on the market will be what they will be unless the right match is found.

In small rural markets, it's never time to hang out around the water cooler to debate the DOM. When local, you know the days racked up for a listing because it hopped on and off the MLS conveyor belt a couple times. It's not always the house, the property pricing or condition that increases the DOM. People are involved. A seller who wants to retain possession a month after closing... an agent who presents a contract using a bank lender out of Neptune not closer to home or instead for quicker appraisal report. The DOM needs further study and is not the end all indicator Dr. Paula McDonald but just one of many vital signs to study and know why the number is what it is.

Good afternoon Dr. Paula McDonald 

Each market is so unique, just like many of the homes and properties we sell. Days on Market is one piece of the puzzle, not the whole picture and needs to be interpreted as such (maybe agents need to improve their skills in educating buyers). It's one of the things buyers and sellers want to know about properties. Sometimes sellers are more realistic in their original list price when they analyze properties that were on the market a long time and had several price drops. Listings are not one-size fits all so it's up to us to explain the nuances about all the parts in the equation.

Interesting perspective,,,I prefer to view the price history,,