What is the calculation method used to determine the average days on market for MLS listings?

The method for determining the average days on market uses the total days each property has been on the market, summing those days, and dividing by the total number of properties listed. This calculation provides an average that effectively reflects how long properties typically stay on the market before they are sold.

This approach enables real estate professionals to gauge market trends, understand inventory turnover, and make informed decisions based on how long listings are active. It accounts for every property that has been listed, whether it sold or was withdrawn, ensuring a comprehensive view of market activity. By dividing the total days on market by the number of properties, the calculation captures the average duration that listings remain active in the Multiple Listing Service (MLS), providing valuable insights for both agents and sellers.