Days on Market (DOM) in NYC: What Every Buyer & Seller Should Know
Days on Market (DOM) in NYC: What Every Buyer & Seller Should Know
In the competitive world of New York City real estate, every piece of data tells a story. While price and square footage are the headliners, one crucial metric often speaks volumes to those in the know: Days on Market, or DOM. For both buyers and sellers, understanding what a listing's DOM truly means is key to making a strategic, informed decision.
At Yeo Real Estate, we believe in arming our clients with the knowledge they need to succeed in this complex market. This guide breaks down what DOM is, what it says about a property, and how you can use this insight to your advantage.
What Is "Days on Market" (DOM)?
At its core, Days on Market is a simple metric: it’s the number of days a property has been listed for sale on a Multiple Listing Service (MLS), like the one used by the Real Estate Board of New York (REBNY). The clock starts ticking the day a listing goes "active" and stops when a seller accepts an offer, and the listing status changes to "in contract" or "pending."
However, there's a more comprehensive version of this metric you should also be aware of: Cumulative Days on Market (CDOM).
DOM: This is the running total of a property's current listing. If a listing is taken off the market and then relisted, the DOM clock may reset.
CDOM: This provides a more complete picture. It's the total time a property has been on the market, including any previous listings by the same or a different brokerage, within a specified period (typically 60-90 days). The CDOM will not reset when a listing is withdrawn and relisted, providing a truer sense of a property's history.
For buyers, looking at both DOM and CDOM can help you see if a property is truly "new" or if it's a re-listed home with a long history of failing to sell.
What a Low DOM Says About a Listing
In general, a low DOM—often less than 30 days—is a strong indicator of a healthy, desirable, and well-priced property.
For Sellers:
A low DOM is the ultimate goal. It signifies that your property is priced correctly and is generating strong buyer interest. A quick sale at or above your asking price suggests you have a sought-after asset in a high-demand market. It minimizes the stress and time your home spends on the market and can lead to multiple offers and a bidding war, ultimately maximizing your profit.
For Buyers:
A low DOM indicates a competitive situation. This is often a seller’s market, where you need to be prepared to act quickly and potentially make a strong, non-contingent offer. A low DOM suggests that other buyers also see value in the property, confirming its desirability. While this leaves less room for negotiation, it also means the property likely has no major flaws and is fairly valued.
What a High DOM Says About a Listing
When a property has been on the market for an extended period, it's often referred to as a "stale" listing. A high DOM—generally above the local average—can send a signal to both buyers and sellers.
For Sellers:
A high DOM can be a red flag. It suggests that something may be deterring buyers. This doesn't necessarily mean there is something "wrong" with the home, but rather that there is a disconnect between its perceived value and the market's reality. The primary causes are typically:
Overpricing: The most common reason for a high DOM. An overpriced property will get very few offers, regardless of how attractive it is.
Poor Staging or Marketing: Lackluster photos, a cluttered interior, or a weak online presence can fail to attract initial interest.
Undesirable Location or Features: While a property's location can't be changed, some features (like a walk-up building or a unit facing a noisy street) can cause it to linger on the market.
For Buyers:
A high DOM can be a powerful negotiation tool. It indicates that the seller may be more motivated to accept a lower offer or concede on other terms, such as a faster closing or including furniture. When you see a high DOM, you have an opportunity to:
Offer Below Asking: Sellers with properties that have been on the market for a long time are often more open to a price reduction to secure a sale.
Negotiate Other Terms: You can use the high DOM as leverage to ask for a credit for repairs, a closing cost concession, or a more flexible timeline.
Ask Strategic Questions: A high DOM gives you an opening to ask your agent to find out more from the seller's side. Why has the property been on the market for so long? Have there been any previous offers?
The NYC-Specific DOM: REBNY and Manipulation
New York City's real estate landscape has its own rules, and this applies to DOM as well. The Real Estate Board of New York (REBNY) has specific regulations regarding listing history and resetting the DOM clock.
According to REBNY rules, a listing's DOM can only be officially reset to zero under two primary conditions:
A listing must be off the market for 90 consecutive days.
The property must be sold and the transaction officially closed.
However, it is a common practice for some brokerages to attempt to "manipulate" the DOM on consumer-facing sites like StreetEasy. This can be done by delisting and relisting a property with a new brokerage, or by changing the unit number in a subtle way (e.g., from "3J" to "J3"). While these practices are against REBNY's rules and considered deceptive, they highlight the importance of looking at a property's full listing history, not just its current DOM.
For Buyers: We strongly recommend using a reputable real estate agent who has access to the official RLS (REBNY Listing Service) data, which tracks the full history of a property and is not susceptible to these tricks.
Tips & Takeaways
For Sellers: How to Avoid a High DOM | For Buyers: How to Use DOM to Your Advantage |
Price it Right: The single most important factor. Work with your agent to set a competitive, realistic price from day one. | Use it as a Negotiation Tool: A high DOM means the seller may be more motivated. Be prepared to make a strategic, lower offer. |
Stage & Photograph: Invest in professional staging and photography. Your listing's first impression is everything. | Look for the CDOM: Ask your agent to show you the Cumulative Days on Market to get the full story of the listing. |
Be Flexible: Don't be too stubborn about an initial low offer. Sometimes, a negotiation can lead to a desirable outcome. | Ask Why: Use a high DOM to prompt questions to your agent about the property's history, previous offers, and any potential issues. |
Time the Market: Consider the best time to list your home. Spring is generally the most active season in NYC. | Don't Be Afraid of "Stale" Listings: A long DOM doesn't always mean a bad property. It could simply be a sign of an overpriced home that is now a potential bargain. |
Whether you're selling a luxury condo in Manhattan or buying a co-op in Brooklyn, DOM is more than just a number. It's a valuable piece of data that provides insight into a property’s story, the market’s health, and a seller’s motivation.
At Yeo Real Estate, we use our deep market knowledge and data-driven approach to help you navigate the complexities of DOM and the entire NYC real estate process. Our goal is to ensure you feel confident and empowered, whether you're listing your home for a quick sale or finding the perfect opportunity to make an offer.
Ready to get started? Contact us today for a personalized consultation and let us help you achieve your real estate goals.