Property Management

In Michigan, an 'absorption rate' in property management and market analysis measures:

AHow quickly paint is absorbed into drywall
BThe rate at which available properties are leased or sold in a specific market over a given period✓ Correct
CThe percentage of rental income absorbed by expenses
DThe rate of population growth in a market area

Explanation

Absorption rate measures how quickly available properties are leased or sold in a given market. In Michigan, a high absorption rate indicates strong demand; a low rate indicates oversupply or weak demand, affecting rental rates and investment decisions.

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