Absorption Report

Phoenix, AZ, Townhouse

Absorption Report

The absorption rate is essentially the total number of months that it would take to sell all of the current listings in a particular market. These ratings are in a constant state of fluctuation, based on supply and demand, and usually involve all homes sold within the previous six-month period. A lower absorption rate means that the property will likely take a bit longer to sell, and conversely, a higher number indicates that the property is likely to sell much faster. Both buyers and sellers can use this data to help predict sales activity and home prices for the property in question. For example, if a homeowner lives in a market with an absorption rate of 5-months and is also anxious to sell due to a job transfer, then it might be in his or her best interest to be more aggressive in the listing price.

Seller's
Market		 Balanced
Market		 Buyer's
Market
< 5 months Inventory 5 months Inventory > 5 months Inventory

Townhouses 13% of available homes are currently under contract

List Price Available # of Homes Available Sold Last 6 Months Sold in Last 6 Months Under Contract
Last 30 days Sold in Last 6 Months 		Absorption Rate Absorption Rate Months of Inventory Months of Inventory
101k-125k 3 1 0.5 0
126k-150k 5 2 1 0.1 15
151k-175k 16 12 0.1 8
176k-200k 25 34 4 0.2 4.4
201k-225k 23 47 12 0.3 2.9
226k-250k 32 62 7 0.3 3.1
251k-275k 33 48 7 0.2 4.1
276k-300k 45 66 8 0.2 4.1
301k-325k 59 84 11 0.2 4.2
326k-350k 53 72 12 0.2 4.4
351k-375k 24 48 10 0.3 3
376k-400k 34 63 14 0.3 3.2
401k-425k 20 39 5 0.3 3.1
426k-450k 17 33 7 0.3 3.1
451k-475k 19 21 4 0.2 5.4
476k-500k 19 17 4 0.1 6.7
501k-550k 25 31 1 0.2 4.8
551k-600k 20 23 6 0.2 5.2
601k-650k 17 23 5 0.2 4.4
651k-700k 22 15 0.1 8.8
701k-750k 10 14 2 0.2 4.3
751k-800k 7 7 0.2 6
801k-850k 4 2 0.1 12
851k-900k 3 3 0.2 6
901k-950k 4 1 0 24
951k-1m 3 0
1.1m-1.2m 1 0
1.2m-1.3m 1 0.2 0
1.3m-1.4m 1 2 1 0.3 3
1.4m-1.5m 2 0
1.5m-1.6m 2 1 0.1 12
1.7m-1.8m 1 0.2 0
1.8m-1.9m 1 0
1.9m-2m 1 0
2m-2.25m 1 0.2 0
2.25m-2.5m 2 0
2.5m-2.75m 1 0
4m-4.5m 1 0