This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

5 Real Estate Terms You Need to Know

Because of this, real estate professionals place a heavy emphasis on the number of days a home is on the market. The median days on market refers to the time it takes for a home in an area to sell. The median days on market is the midpoint of home sales, meaning half the homes in an area sold faster and half the homes sold slower.

This statistic can be used to calculate a market's relative strength. The basic ideas is that the faster homes sell, the more demand there is in a market.

Typically, homes with a high number days on market are perceived to be less desirable or overpriced compared with homes that were recently listed. For example, buyers might make the assumption that the longer a home is on the market, the more eager the seller is to unload their property, and try to negotiate a lower price.

At the same time, this number might not be as accurate as many people think. A common practice is for agents to take homes off the market after a set number of days and relist the home.

Tip: You should consider homes that are already on the market as opposed to flocking toward new listings. Knowing that a home has been on the market for a long time can provide you with a starting point to argue for a lower price.

3. Median list price per square foot over time
When homebuyers begin their search, they will want to know the strength of the market. This will clue them into whether it is a buyers' or sellers' market, and ultimately save them money. One way to gain insight is to look at the median list price per square foot over time.

If this number is down or flat it might be a good time to buy a home. If the figure has increased it can indicate demand is up and it is a good time to sell. In addition, the current median list price per square foot allows buyers to compare the relative cost of two homes in two different areas. You can see an example of this on our market statistics page for San Diego.

2 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,563.30 -317.06 -1.88%
S&P 500 1,930.67 -39.40 -2.00%
NASDAQ 4,369.7730 -93.1290 -2.09%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs