Demand refers to the quantity of goods or services that consumers are willing and able to purchase at a given price. It plays a crucial role in the real estate market as it influences prices and availability.
In real estate slang, 'DOG' refers to an unwanted property that is typically hard to sell due to various issues such as poor appearance, poor construction, lack of market demand, or negative environmental conditions.
Market Capture, also known as Capture Rate, is a vital real estate metric that measures the share of a particular property or set of properties in relation to the overall market demand.
Net Absorption measures the amount of newly occupied space in a given period minus the space vacated or put back on the market during that same period, providing key insights into market demand and occupancy trends.
A presale involves selling properties that are yet to be constructed, such as condominiums. It allows developers to secure financing and gauge market demand before actual construction begins.
The Primary Market Area (PMA) is a defined geographic region from which a business, such as a retail store or real estate development, expects to draw the majority of its customers or tenants. Identifying and understanding the PMA helps businesses to gauge market demand, optimize marketing strategies, and make more accurate financial projections.
A 'spec house' refers to a single-family dwelling constructed by a developer before having an identified buyer, based on the anticipation that the finished home will meet local market demand and sell within a reasonable period.
Speculative building involves land development or construction without a formal commitment from end users, with the expectation that demand exists or will form for the finished product.
