As we come to the end of the year, many sellers on the West Bank are trying to determine if and when they should adjust the price on their homes for sale. Your REALTOR®, I'm sure, has provided you with an updated market analysis of the sales prices in your particular neighborhood. However, have they provided you with an absorption report?
An absorption report is a tool used to determine trends in your market.
- How many homes are for sale in the area? Note: Homes listed with an agent only - For Sale by Owners are not included in these reports.
- How long is it taking them to sell?
- How many have sold in the last 90 days?
- What price ranges are selling fastest?
It is basically a bird's eye view of the supply and demand in your real estate market and is a way to do a spot check of current market conditions. Remember, an absorption report is only a snapshot of the current market and the percentages change each time a new listing comes on the market or an existing listing sells.
Need details on the absorption rates in your area? I have detailed information on the following areas:
Westwego, Avondale and Bridge City
If you any questions about the information contained in these reports or just have a question about the West Bank real estate market, please contact Lisa Heindel, Realtor®.
Your West Bank Real Estate Specialist
#1 Seine Court, Suite 100 New Orleans, LA 70114
Copyright 2007. Lisa Heindel, Realtor®. All rights reserved.
Lisa, Great information for a consumer. Before I joined AR I had never heard of an absorption rate and would never have thought to ask for one. I love the information you provide (and miss the Fairs :)
Great presentation on this subject.
I use absorption rate statisticcs with both buyers and sellers.
Se my post at: http://activerain.com/blogs/jpeters
As long as financing is posible.
Alex, while I agree that the availability of financing is important, the first step a seller needs to take is to price their home correctly. All the loan money in the world won't fix an overpriced listing.