What Is CDOM in Real Estate?

Cumulative Days On Market (CDOM) is a real estate metric that tracks how long a property has been listed for sale. It provides a comprehensive view of a property’s market exposure by considering all its listing periods. This helps those navigating the real estate market understand the total duration a property has been available to potential buyers.

Understanding Cumulative Days On Market

CDOM measures a property’s total time on the market, encompassing all instances it has been listed for sale. It totals the days a property has been actively marketed, even if previously taken off the market and then relisted. This metric differs from “Days On Market” (DOM), which typically resets to zero when a property’s listing is withdrawn, re-entered, or changes agents. DOM reflects only the current, continuous listing period.

CDOM aggregates days from all past and current listings for the same property, providing a complete history of its market exposure. For example, if a property was listed for 60 days, then removed, and later relisted for another 60 days, its DOM would show 60 days for the current listing, while its CDOM would reflect 120 days. This cumulative approach is useful for understanding the full market journey of a property, especially when it has undergone multiple listing attempts or periods of inactivity.

Calculating Cumulative Days On Market

Calculating CDOM involves aggregating the total days a property has been actively listed for sale across all its appearances on the Multiple Listing Service (MLS). The count begins from the date the property is first listed and continues to accumulate, even if the listing status changes or the property is relisted. For instance, if a property is listed, then taken off the market, and subsequently relisted within a certain timeframe, the days from the previous listing typically carry over and add to the new listing’s CDOM.

Rules for CDOM accumulation and reset vary among different MLS systems, but general principles apply. CDOM continues to accumulate if a property is relisted within a specific period after being withdrawn, expired, or canceled, often ranging from 30 to 90 days. If a property remains off the market beyond this period, the CDOM may reset to zero upon relisting. CDOM typically resets immediately to zero if the previous listing resulted in a sale, or if there were no prior listings for the property. Changes in listing agents or brokerages do not reset the CDOM, as the metric is tied to the property address, ensuring a consistent historical record.

Significance in Real Estate

CDOM provides insights into a property’s market standing and history. A high CDOM suggests a property has faced challenges selling, potentially indicating that the initial price was too high, the property’s condition needs attention, or market demand for that specific type of property is low. This extended market presence may lead buyers to question why the property has not sold and could influence their offer strategy.

Conversely, a low CDOM indicates that a property is new to the market or is highly desirable, attracting swift interest from buyers. Such properties often convey a sense of urgency and suggest they are well-priced, in good condition, or located in a sought-after area.

Real estate agents utilize CDOM to advise sellers on pricing and market positioning, as properties with higher CDOM might benefit from price adjustments or enhanced marketing efforts. For buyers, CDOM offers an analytical tool to gauge a seller’s potential motivation and inform negotiation tactics, as a longer market presence might suggest increased flexibility from the seller.