How to Decode Real Estate Stats—and What They Really Say About the Market
By Frank Campobasso, Century 21 Circle
If you follow real estate agents online (hopefully me!), you've probably seen your feed filled with market update posts. They're packed with terms like median sale price, inventory levels, days on market, and list-to-sale price ratio. At first glance, all those numbers can feel overwhelming—but understanding them can give you a serious edge, whether you're buying, selling, or just keeping an eye on the market.
As a realtor, my job is to make your life easier—not just when it’s time to buy or sell, but by helping you understand what’s going on in the market. An educated homebuyer or seller isn’t a challenge—they’re a partner. When you know what the numbers mean, we can work together to make smarter, faster, and more confident decisions.
Let’s break down the most common stats I share and why they matter to you:
1. Median Sale Price
What it means: The midpoint price of all homes sold in a given area during a specific timeframe.
Why it matters: It’s a great indicator of where home values are trending. If the median price is rising, the market is heating up. If it’s falling, there may be more room for negotiation.
Pro Tip: Don’t confuse this with the average. Median filters out the extreme highs and lows, giving a clearer view of market direction.
2. Days on Market (DOM)
What it means: How long the average home sits on the market before going under contract.
Why it matters: Fewer days means homes are selling quickly—usually in a competitive market. More days could mean more negotiating power for buyers.
Pro Tip: Pay attention to changes in DOM over time. A sudden spike or drop is often a sign that the market is shifting.
3. Inventory (or Months of Supply)
What it means: The number of homes available versus the number of buyers in the market.
Why it matters: Low inventory creates competition and can drive prices up. High inventory gives buyers more options and more leverage.
Pro Tip: A market with fewer than 5 months of supply typically favors sellers. Over 6 months starts to tilt in buyers' favor.
4. List-to-Sale Price Ratio
What it means: The percentage of the listing price that homes actually sell for.
Why it matters: If homes are selling for more than asking, you’re in a competitive market. If they’re selling below asking, there may be room to negotiate.
Pro Tip: A ratio over 100% often means buyers need to come in strong with their offers. Sellers can use this stat to price more strategically.
5. New Listings vs. Sold Listings
What it means: Compares how many new homes are hitting the market versus how many are selling.
Why it matters: If more homes are selling than being listed, supply is tightening. If the opposite is true, the market may be softening.
Pro Tip: Watching this balance over time helps predict market shifts and timing for your move.
Final Thoughts
The housing market can be complex, but the numbers tell a story—and understanding that story helps you make better decisions. Whether you're planning to buy, sell, or just want to be informed, I'm here to walk you through it.
Have questions about your local market? Let’s talk.
Frank Campobasso
Century 21 Circle
773-425-6265
ABOUT FRANK CAMPOBASSO
With over 20 years of industry experience, Frank Campobasso is a seasoned real estate expert known for marketing single-family homes, townhomes, condos, multi-unit buildings, and investment properties. He is also a highly successful buyer’s agent, known for helping clients navigate competitive markets and secure the right home at the right price. Dedicated to achieving outstanding results, Frank prioritizes customer satisfaction, ensuring that his clients’ homes sell quickly and for top dollar. His expertise in pricing, preparing, and showcasing listings has earned him recognition in leading real estate magazines, newspaper articles, and radio programs.
