When you list a home on the real estate market, especially in a competitive region like the Bay Area and Silicon Valley, evaluating how the market reacts is critical – especially when the listing is newly on the market. Sellers naturally want to know whether their home is getting enough attention, if it’s priced correctly, and whether it’s on track to sell quickly. But how do you assess market feedback?
Evaluating the performance of a real estate listing goes beyond simply looking at days on market. A variety of factors, from showings and offers to online metrics like views and saves, help you gauge how the market is responding to your property. This article will guide you through how to track the right indicators, compare your home to competing listings, and make adjustments if necessary to ensure your home sells at the right price and in a timely manner.
The Importance of the First Days on Market of a New Listing
The first days your home is on the market are critical to achieving a high sale price on excellent terms with the buyer. There are a number of reasons for that, but chief among them is that statistically, homes which sell for the highest prices in the Bay Area tend to go into contract between 7 and 10 days on market. You can still obtain a good price and great terms for your home beyond that time frame, but your odds start to drop soon thereafter.
That’s because on the day you list your home for sale, there is a relatively small cohort of people who are in the market for a home like yours – bedrooms, bathrooms, square footage, lot size, location, and price are all within their desired parameters. Let’s say there are 100 people who are ready, willing, and able to make an offer today on your home, if they decide it’s the one they want to own. These 100 people are not casually looking – they are actively looking, right now, and thei intention is to buy a home right away. These are your 100 best buyers.
All of these buyers will see your home online shortly after it hits the market. Based on what they see online, and their own experience of the market, they will decide to see it in person, either with a private showing, or at an open house.
If these buyers do not decide to see it in person, they’re not going to buy your home. Serious buyers visit properties in person, so the key to get a great offer is to get as many buyers in the door as soon as possible. Other metrics that can be tracked are important precursors to in-person visits, but the rubber meets the road when feet cross the threshold.
Once this cohort of buyers have had the chance to visit your home (or not), you will then have to wait for new buyers to enter the market and for them to “discover” your home. These new buyers will appear only slowly – and they will usually want to see the newest listings first, thinking there must be something “wrong” with your home else it would have otherwise sold sooner. These new buyers may eventually get around to seeing your home, and they may like it when they do – but they will be much more likely to write a low-ball offer than if it is new on the market.
The Undulations of the Market
But what if you don’t get offers within the first week, two, or three? As I often tell my clients: ommmmmm. Don’t panic. After more than two decades in the business, I can attest to the fact that the market is not always steady. It ebbs and flows, twists and turns, jigs and jags. That’s why it’s important to keep perspective when it doesn’t sell right away. That’s when it’s important to look at the numbers and see how well your listing is doing relative to the other homes listed for sale. If nothing else is moving, it shouldn’t be too much of a surprise if your home isn’t either.
It may be that, unfortunately, you listed your home just when the market hit a lull. It happens. But a lull usually doesn’t last too long. But beware: if a lull does last long, it will turn into a slump, which can have a significant and long-lasting decline in your home’s fair market value. Chasing the market down is no fun, and it destroys value, too. If you need to sell, and you’re not getting offers – regardless of what the metrics say – you will be well advised to adjust your price quickly.
Every Home, Seller, and Market are Unique
One challenge with evaluating any new Bay Area real estate listing is that every home, neighborhood, market, seller, and time create a unique scenario for selling a home. Depending on the kind of home you have, its price point, location, marketing strategy, and market conditions, your home sale may be wildly successful even if many of the metrics you can measure would by conventional measure indicate the listing your listing was a total flop. When you are studying these metrics below, it’s important to bear in mind that these should be compared relative to other “similar” homes in your marketplace to judge how well or poorly your listing is doing overall.
Even before you list your home for sale, you should be aware of what typical performance looks like, so you can set your expectations accordingly. If, however, you need to exceed typical sale performance – such as if you need to sell your home quickly, need to hit a certain price, require a rent-back or other concessions from the buyer – you need to have a frank discussion with your REALTOR® about your situation so that you can get the best guidance possible.
With that out of the way, let’s look at the different metrics you can track to get a sense of your listing’s performance.
1. Days on Market and Competing Listings
One of the most common metrics sellers look at is days on market (DOM). While DOM can provide insights into buyer interest, it’s important to look at recent comparable properties that have gone under contract rather than just properties still listed. Homes that recently went under contract are more reflective of current market dynamics, giving you a clearer picture of what buyers are looking for right now.
It’s also important to consider your market area rather than focusing only on your specific neighborhood. In real estate, a market area could include similar homes within a few miles, even if they are in different neighborhoods. The “market area” would properly be considered to be anywhere that a buyer for your home would also consider buying in. For example, if your home is in San Mateo, you might also look at recent sales in nearby areas like Redwood City or Burlingame. This broader view helps you understand regional trends and buyer demand across a larger section of the market.
By comparing the days on market of homes in the broader market area, you’ll have a clearer sense of how long it should be taking for your home to sell, if it is priced competitively. If similar homes are selling in less than 30 days and your home has been sitting for longer, it ‘s a good a sign that your pricing strategy needs adjustment.
2. Online Metrics: Views and Saves
Online visibility is one of the most important factors in the success of your listing. On platforms like Redfin, Zillow, and Realtor.com, you can track the number of views and saves your property receives.
- Views: This is the total number of people who have looked at your listing. High views indicate strong interest in the home, while low views could suggest that the listing is not attracting enough attention.
- Saves: Saves are a more serious indicator of buyer intent. When a potential buyer saves a listing, it usually means they are considering the home and may schedule a showing or make an offer. A high number of saves relative to competing listings is a good sign that your home is attracting interest from motivated buyers. Zillow will tell you how many saves any listed property has had, so you can check how your home is doing relative to the competition.
It’s very useful to compare your listing’s views and saves to similar properties in the same price range or market area. This gives you a benchmark for how well your property is performing compared to competing listings. If similar homes are getting significantly more views or saves, it may be a sign that your listing needs better marketing or a price adjustment.
3. Compass Insights and Compass Collections
If you’re working with a Compass agent, you have access to their Compass Insights tool, which provides detailed analytics on your listing’s performance – and also the general market area. This tool tracks key online metrics, including how many people are viewing the property and where those views are coming from.
The Compass Insights tool also allows you to see how your listing is performing in comparison to other properties on the market, giving you a clear picture of how your home stacks up against the competition. This level of data allows you to make more informed decisions about your marketing strategy, pricing, and adjustments.
When you are working with a Compass agent like me, you’ll be able to get weekly insights emailed to you that help you track how your listing is doing.
Your Compass agent can also set up private Compass Collection for you to keep tabs on the competition. This will give you immediate updates on competing listings as they come on the market, go pending, sell, or are otherwise withdrawn from the market. You will also get access to new “coming soon” listings and Compass Private Exclusives before they actually hit the market, to give you a better sense of what’s coming down the road.
For Best Results
4. Private Showings
Private showings are one of the most important indicators of buyer interest. A general rule of thumb is that you should be getting at least one private showing per day when your home is newly listed, and for at least the first 30 days. If you’re not seeing this level of activity, it could indicate that your price point is too high, or there’s an issue with the home’s marketing.
Keep track of how many showings are happening each week and whether those showings lead to any next steps (such as follow-up questions, appointments for second visits, or disclosure package requests). If showings slow down significantly after the first few weeks, it may be time to re-evaluate the price or market strategy.
A huge red flag, however, is if you are getting no showings – or anything less than about five showings per week. This will depend however on the price range of the property. Luxury homes listed at luxury prices will often have fewer than one showing per day – and that’s OK, but if you’re not getting any showings, or only rare showings, there’s an issue. A home listed at 2x the median sale price should be getting at least 0.5 showings per day; a home listed at 3x median price should be getting at least 0.3 showings per day when newly on the market.
5. Disclosure Package Requests
In competitive markets like the Bay Area, serious buyers will often request the disclosure package early in the process. This document provides essential information about the property’s condition, any known issues, and previous repairs or updates.
If multiple buyers and agents are requesting the disclosure package, it’s a strong indicator of serious interest. Ideally, you want to see multiple disclosure requests within the first two weeks of the listing going live. If there are no requests, or requests have slowed down, it may be a sign that buyers are either hesitant or uninterested at the current price point.
Most agents post disclosure packages online, and then provide the URL to buyer’s agents via the Multiple Listing Service to download any time. I personally don’t do that; I only allow buyers or agents to access a disclosure package once they have visited the home in person, and are interested in requesting the disclosure package pursuant to making an as-is offer on the property. Therefore, when working with me, the number of disclosure package requests is directly correlated with buyers who are seriously considering making an offer on the property.
6. Open House Traffic
Open houses provide an opportunity to attract casual buyers and agents who may not have scheduled a private showing yet. While the number of people who attend an open house can vary depending on the area and price point, you generally want to see between 5 and 15 parties come through per open house.
You really need to pay attention to the number of visitors at your first weekend of open houses. In most urban and suburban parts of the Bay Area, you’d expect to see at least a dozen parties through the home, each day of the first weekend of open houses. If your home is more of a rural property (up in the Los Gatos mountains, say) you might expect to see half that.
If your open houses aren’t getting the expected foot traffic, it could be a red flag. Low attendance might suggest the home isn’t being marketed effectively, the price is too high, or there are concerns about the condition or location. If open house traffic is low, consider adjusting your marketing strategy or, more realistically, revisit your list price to more closely align with what the market expects to see for your home’s overall value proposition.
7. Offers and Showings-to-Offers Ratio
The number of offers you receive is one of the clearest indicators of how well your home is doing. A good rule of thumb is that you should get 1 offer per 10 private showings, and every 3 open house visitors count as 1 private showing. If you’ve had more than 10 showings and no offers, it’s a good indication that something is off—either with the price or the property itself.
Multiple offers are common in competitive markets, and if your home is receiving several offers, it’s a sign that the listing price is attractive to buyers. However, if there are no offers after several weeks and multiple showings, it may be time to reconsider the price, or make improvements to the property based on buyer feedback.
Time to talk to a REALTOR?
8. Virtual Tour Video Views
In today’s digital age, virtual tours are a must for almost any real estate listing. The number of video views on your virtual tour can give you a sense of how many serious buyers are engaging with the property. Casual buyers will just flip through the photos quickly; people who are seriously interested in learning more about a property will take the time to watch a video, so it’s also good to see how much of the video is being watched (which can be seen on YouTube analytics).
Like with online listing views, it’s important to compare your video views to similar listings. If other properties are getting significantly more views, it might be a sign that your home isn’t standing out in the marketplace. Consider enhancing the virtual tour with higher-quality footage, additional details, or promoting it through social media ads to attract more interest.
9. Buyer Feedback
Finally, buyer feedback is invaluable when evaluating how well your listing is performing. Whether feedback comes directly from potential buyers or through their agents, it’s important to listen closely to what’s being said. However, one useful trick when analyzing feedback is to add the phrase “for the price” to any comments. For example, if a buyer says the kitchen feels small, mentally add “for the price” to the feedback.
This helps clarify whether buyers are truly dissatisfied with the home itself or whether the issue lies in the perceived value. If multiple buyers comment on the same issues (such as size, layout, or condition), and you consistently feel that the feedback implies the price is too high, it might be time to adjust your asking price.
If buyers don’t have specific quibbles with the property, or their feedback is largely positive but does not result in a disclosure package request, follow-up visit, or an offer then it’s safe to assume the home just isn’t for them and there are no meaningful inferences to gain from that buyer.
Conclusion: Tracking the Right Metrics
When you list your home on the market, paying close attention to market reaction is key to understanding how your property is performing, and the likelihood that you will get a reasonably fast sale, strong price, and favorable terms. Look at a variety of metrics, including days on market, online views, saves, showings, disclosure package requests, offers, open house traffic, and video views. Tools like Compass Insights, alongside data from platforms like Redfin, Zillow, and Realtor.com, give you a comprehensive view of how well your home is doing compared to the competition.
By evaluating these factors, you can make informed decisions about whether to adjust your price, improve your marketing efforts, or re-strategize to ensure a faster sale at the right price. Ultimately, staying responsive to market feedback is the key to a successful real estate transaction in any market condition.
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