The Value of Time: How Days on Market Shape Price

The Value of Time: How Days on Market Shape Price

When people look at homes online, one of the first things they notice is Days on Market (DOM). A low number feels exciting. A higher number can raise questions. But DOM is one of the most misunderstood signals in real estate, especially during winter when the market moves at a completely different rhythm.

As 2025 winds down, understanding how time impacts value gives both buyers and homeowners clearer expectations heading into the new year.

 

Why DOM Rises in Winter (And Why It Doesn’t Mean What You Think)

Every winter, DOM naturally increases across Colorado. The reason is simple: Buyer activity temporarily drops, not because demand is weak, but because life slows down. Holidays, weather, shorter days, school schedules - all of it reduces the number of buyers touring homes.

That means a home that might go under contract in seven days in April could easily take 25-35 days in December. Nothing is “wrong” with the home, the pool of active buyers is just smaller.

When spring returns, so does the pace.

 

How DOM Actually Shapes Price

There’s a common belief that the longer a home sits, the lower the final price will be. But in winter, that relationship is much softer.

Short DOM in winter often indicates a competitively priced home or a particularly motivated buyer or seller.

Moderate DOM: 20 to 45 days - is completely normal this time of year.

And even higher DOM doesn’t necessarily hurt value; it simply reflects the slower season.

The key is context. A home with 45 DOM in December is typical.

A home with 45 DOM in May tells a different story.

 

For Sellers: Time Can Be an Advantage

Winter DOM gives sellers something they rarely have in spring: room to strategize.

  • You can test a price without getting lost in a crowd of competing listings.

  • You have fewer listings competing for buyer attention.

  • Price improvements or small concessions tend to stand out more.

  • Serious buyers are more intentional and more prepared to write offers.

Homes that list in December or January often go under contract with stronger terms than many expect, even if the DOM is higher than the spring averages.

 

For Buyers: DOM Reveals Hidden Opportunities

Buyers who pay attention to DOM in winter can spot opportunities others overlook.

Homes that sit 20-40 days right now may simply have entered the market at a quieter moment. Sellers may be more open to negotiation. And without the pressure of spring competition, buyers can take more time to evaluate homes, structure offers thoughtfully, and negotiate useful concessions like rate buydowns.

In many cases, winter DOM gives buyers their best leverage of the year.

 

The Bottom Line

DOM doesn’t carry the same meaning in December as it does in April.

Time in the market slows naturally, but value doesn’t disappear. Instead, DOM becomes a lens into market rhythm, helping buyers identify opportunities and giving sellers more strategic control.

As we enter 2026, understanding the role of time in pricing and negotiations can help you make clearer, more confident decisions about your next move.

 

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