The total required marketing time for the "average" single family home seller on Madison's west side was 162 days (5.3 months) in 2007, compared to 210 days (6.9 months) for all of Dane County. The graph below shows how marketing times have grown since the beginning of the decade. Sellers had all of the leverage from 2000 to 2004, back when the average west side home sold in just over 2 months, compared to about 3 months for all of Dane County.
How do we calculate the total required marketing time? We use our knowledge of other market statistics to calculate this measure. We know how often listings sell versus expire, and we know the average days on market for those listings that sell and those that expire. When we put these measures together, we come up with an equation that looks like this:
Total DOM = DOM (sold) + DOM (expired) * [(percent expired)/(percent sold)]
For more on the Madison West market, check out our historical report on DaneCountyMarket.com, and visit our year-to-date snapshot for updates throughout the year.
We'll be covering some new real estate topics in the coming week.
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