Quick Stat: The Hot Market Does Not Discriminate
Historically there has been variance in days on market between property subtypes, square footage, and bedrooms... but not recently.
In the relatively normal periods of markets preceding the “unprecedented era” of pandemic and post-pandemic real estate, the amount of time a property spent on the market varied by property type. While looking through May data today, I noticed that since February of this year, median days on market in the Denver Metro Area remained at 4 days regardless of property size, number of bedrooms, and even property subtype. Let’s dive into these variables and their history a little deeper.
Bedrooms
The data source I use breaks up bedrooms into three categories: two or fewer, three, and four or more.
You can see here that historically, listings with four or more bedrooms take noticeably longer to sell than those with three bedrooms or less. In fact, between Jan 2017 and Feb 2020, listings with four bedrooms or more took about 26.4% longer to sell than those with three bedrooms or less. Let’s review those figures for the past few months:
Just as expected: The Hot Market Does Not Discriminate.
Square Footage
The relationship between days on market and property square footage is very similar to that of the number of bedrooms (and that would make sense since square footage and the number of bedrooms are likely very strongly correlated).
Once again we can see that larger properties spent more time on the market than smaller properties and once again we can see that since February of this year, every single property subtype has the same median days on market of four days.
Once again… The Hot Market Does Not Discriminate.
Property Subtype
Lastly, we have what I consider the most interesting variable. By looking at this chart, it’s fascinating to see that days on market actually varies much more, and there is no clear historical leader (at least in the last five years) of the fastest-selling property subtype.
By taking the average median (I know, confusing) days on market for each subtype from Jan 2017 through Feb 2022, townhouses actually appear to sell the fastest. However, take this figure with a grain of salt as this difference is fairly insignificant.
The real conclusion to draw from this, of course, is that it’s strange that since February, the median days on market for all of these property types has remained the same: four days.
I think you know by now what I’m trying to say…
The Hot Market Does Not Discriminate.