Days on Market (DOM)

Like any consumer product, being on the market for a while without selling isn’t the best. The same is true for residential homes and real estate. Days on market or DOM as its commonly referred to is a popular metric in the world of real estate. It measures the total number of days the property listing is on the active real estate market.

The DOM counter stops when a buyer’s offer is accepted and the sale is pending or the property is delisted. A property has to be delisted for a specific amount of time for the DOM counter to be reset. This typically is 30 to 60 days until it is relisted.

The process of buying a property can be a long process compared to other forms of purchases. Days where properties that are under contract and are going through inspections still count towards the DOM counter. Days in which the property has contingent offers in which the seller is waiting for a specific event or better offer also do not stop the DOM clock. Only when the sale is considered pending does the DOM counter stop.

DOM’s can be a good indicator of the local real estate market’s health and a home’s pricing. Homes that have been listed on the market for an extended period of time may be open to negotiation and a lower offer. It may also indicate a problem with the property if it hasn’t sold for a while.

According to the NAR, the average number of days on the market in April 2017 for residential property in the USA was 29 days.

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