Property Valuation
What is 'absorption rate' in Rhode Island real estate analysis?
AThe rate at which property values are increasing
BThe rate at which available properties are sold or leased in a given time period in a specific market✓ Correct
CThe rate at which a building deteriorates
DThe rate of return on a commercial investment
Explanation
Absorption rate measures how quickly available properties are being sold or leased. A high absorption rate indicates strong demand; a low absorption rate indicates a buyer's market with excess supply. It is important for pricing and marketing strategies.
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