How Absorption Rates Affect You

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Today, we're going to talk about absorption rates and real estate. What is the absorption rate, and why is it important?

Absorption is simply the number of months inventory on the market right now, and how long it will take to sell those particular properties if no new homes come on the market.

Nowadays, sellers are inundated with a lot of real estate data from around the nation. In Central Florida, the median price is up 60% from 2011. However, it's important to dig a little deeper and look at the data surrounding your neighborhood in order to really know what's going on.

That's where the absorption rate comes in. We look at recent sales as well as properties that have failed to sell. We look at data over a two-year time period because the past helps us project what will happen in the future. We can see exactly which way your neighborhood is trending. Once we've examined everything, we will come up with a price for your listing.

If you have any questions, give us a call or send us an email. We look forward to hearing from you.