In real estate, DOM stands for Days on Market. It’s the length of time that a house has been on the market (a.k.a listed for sale). The number of days on the market directly affects the sales price of the home, so it’s a number that home buyers and sellers should pay attention to.
Below, we’ll take a look at why DOM matters, the average DOM in Palm Beach County, and what to do if your home isn’t selling as quickly as you’d like it to.
What is the Average DOM?
When shopping for a home or listing a home for sale, it’s helpful to understand what the average DOM is in your location. Realtor.com offers a helpful tool that can help you identify the median DOM from week to week in various locations. According to the realtor.com residential listings database, the median days on market in the United States is 32 days for June 2022. Its important to understand this number changes all the time. The shorter the DOM, the hotter the real estate market is.
In Palm Beach County, homes tend to sell more quickly. Palm Beach County’s median days to contract, which is another way to describe days on market, was just 11 in May 2022.
Reasons Why a Home May Be On the Market for Longer Than the Average DOM
If a home is on the market for much longer than the median DOM, it could indicate a few different things. Understanding the reasons why a home is taking longer to sell can help you know what to look for and consider as you evaluate properties.
1. The Home is Overpriced
It’s possible that the house is listed for too much. Buyers might have made lower offers that the seller rejected. Or, the high price might scare away buyers from making any bids at all.
2. The First Deal Fell Through
Some houses go under contract quickly but then the first deal—or even the second or third—fall through. A deal can fall through for a number of reasons. Some have to do with the buyer while others have to do with the house. Here are a few reasons deals might fall through:
- The buyer doesn’t qualify for a mortgage or other financing
- The buyer’s offer is conditional on the sale of their current home and they fail to sell their current home
- The appraisal value is lower than the purchase price and the buyer doesn’t want to cover the difference.
- Home inspection reveals issues
- Title inspection issues, such as outstanding liens or boundary disputes
- Buyer changes their mind
3. Poor Listing Photos
Buyers look at countless home listings. If listing photos don’t showcase the property well, buyers may quickly move on to a different house. There might not actually be anything wrong with the house. Instead, it’s just getting overlooked.
If you see a home with a high DOM and poor listing photos, don’t automatically cross it off your list. Consider the home’s location and any other details about the property. If it still meets your home selection criteria, it may be worth scheduling a visit or attending an open house to see how it looks in person.
4. Sellers Aren’t Providing Easy Access to the Property
Sometimes homes stay on the market for a while because it’s hard for buyers to see the property. The sellers might be restrictive with appointment slots. For example, no walkthroughs in the evening when people are home from work. Renters living in the home could make access difficult too.
5. Seller’s Realtor is Not Responsive
A bad realtor can also be to blame for a home’s high DOM. If realtors are unresponsive to other agents, buyer’s agents may encourage their clients to look for other properties. Similarly, if a seller’s realtor isn’t concerned with the sale of the home, they may not put in any extra effort to make the sale. It might be harder to schedule an appointment or to get responses to questions you may have.
Don’t Let a High DOM Scare You Away
As you can see, there are a number of reasons why a house might be on the market for longer than average. Many of them have nothing to do with the property itself. If you’re interested in the property or its location, take a closer look at the house for yourself. The fact that a home has been on the market for longer may actually work in your favor as the seller may be willing to accept a lower offer.
How to Reduce DOM If Your Home Isn’t Selling
If your home isn’t selling as quickly as you’d like it to, it can be frustrating. Fortunately, there are a few steps that you can take to assess your sales strategy and try to get your house sold faster.
1. Have Your Realtor Follow-Up with Potential Buyers
There’s usually a reason that buyers aren’t interested in a property. Work with your realtor to figure out what the pain points are for buyers. A good strategy is to have your realtor follow up with everyone who’s already seen the home. Making adjustments to the asking price, the property, or your online listing based on that feedback could help you attract more buyers.
2. Reassess the Online Photos
If your home isn’t being toured much, there could be something wrong with your home’s appeal online. After all, listing photos matter. Not only do they get potential buyers in the door, but they also help those potential buyers make decisions after a home tour. Buyers might compare your listing photos head-to-head with another house they’re looking at. If your photos reflect the in-person experience the buyer had while touring your home, they may be more inclined to make an offer on your property.
Make sure that your listing photos are attractive, well-lit, and comprehensive. If you or your realtor don’t have experience with real estate photography, hire a professional photographer who does.
3. Consider Adjusting the Price
Maybe your home does have an appealing online presence, but you still aren’t getting offers. Consider lowering the asking price. Ask your realtor to complete a new comparable market analysis to reprice the home closer to market value.
4. Hire an Expert Realtor
A good realtor does everything they can to help you sell your home. They’re responsive, attentive, and motivated to help you get top dollar for your home. If your house has been on the market for a while with little interest, it might be time to consider changing your realtor.
The realtors at SquareFootHomes can help you sell your home in a way that gets you the money you deserve without disturbing your life. We represent buyers and sellers in South Florida and know just what it takes to make your home stand out in the South Florida real estate market.