About Absorption Rates

Absorption Rates are a way to "measure the market" to determine if an area is a "buyers market", a "sellers market" or just stable.
A buyers market shows that there are more homes available (high supply) than there are buyers (low demand). The term "buyers market" means that the buyers will usually have more homes available in their price range and the prices are usually more negotiable. Good for buyer; bad for seller.
A "sellers market" means there are generally fewer homes on the market (low supply) than there are buyers (high demand). The seller will generally sell their home more quickly at a higher price. Good for the seller: bad for the buyer.
In the greater New Bern area were are generally in between the two. This is good for both. Buyers have a pretty good supply and there is a generally a little room for negotiation and the sellers will usually be able to sell their home if priced correctly.
The chart I created is a little off. I am new at this but if you would like an email of my excel spreadsheet, email me at marcia@neuserealty.com

Absorption Rates New Bern

Market Absorption Rates
New Bern MLS January 7, 2007

Closed Transactions in Past 12 Months 6 Months 3 Months

2287 1088 474
Average #of homes Sold Per/Month 190.6 181.3 158.0
Current Active on MLS>>> 1145 1145 1145
Months Supply on Market 6.0 6.3 7.2

6 Months Supply=Balanced Market
Less than 6 Months Supply = Sellers Market
More than 6 Months Supply = Buyers Market