Property Valuation
What is 'months of supply' in a Delaware residential real estate market?
AHow many months worth of inventory are listed for sale based on current absorption rates✓ Correct
BThe time it takes to close on a property after contract execution
CThe number of months needed to sell a property based on its price tier
DThe time required to satisfy all contingencies in a purchase contract
Explanation
Months of supply = Active Listings ÷ Monthly Sales Rate. Less than 6 months of supply typically favors sellers; more than 6 months favors buyers. It measures market health and guides pricing strategy.
Related Delaware Property Valuation Questions
- What is a 'diminution in value' claim in Delaware eminent domain proceedings?
- What does 'DUST' stand for in real estate value theory?
- What is the relationship between cap rates and interest rates in Delaware commercial real estate?
- In Delaware, what is 'change' as a principle of value in real estate appraisal?
- What is 'functional utility' and how does it affect Delaware property value?
- What is a 'market study' versus a 'marketability study' in Delaware real estate?
- What is 'market rent' versus 'contract rent' in a Delaware lease analysis?
- What is the 'discounted cash flow' (DCF) method in Delaware income property valuation?
Practice More Delaware Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Delaware Quiz →