Absorption rate by price range and area
Since the absorption rate is is defined as how long it would take to sell the available inventory of homes at the current sales pace if no new homes came on the market, it's interesting to see the different absorption rates by price range and by Charleston MLS area. An absorption rate of 6 months is considered a balanced market, less is considered a sellers market and more is considered a buyers market.
The left axis represents the number of months and in some cases, might be better expressed as number of years for available inventory to sell. After all, 30 months is 2 1/2 years.
Homes at lower price points and in areas where more homes are available at lower price points are clearly being absorbed quicker than mid priced and higher priced homes but there is no doubt it's a buyers market.
Statistics compiled by Howard Arnoff using the Charleston MLS as the source of data, information deemed reliable but not guaranteed.
Absorption rate by price range
Absorption rate by Charleston MLS area
