"The Pond" chart illustrates the concept of a market... where properties are coming on the market and go off the market at specific rates.
In the past 24 months, an average of 1.6 new property/month came on the market.
They are being sold, essentially, at the same rate of 1.3 each month.
With a total inventory of 6 units, this gives us a monthly supply of 4.6 months. In other words, if no new properties came on the market, everything would sell in 4.6 months. 6 months of supply is considered a "Balanced Market". Anything less than 6 months, is considered a "Seller's Market".
Given these rates of ingress and egress, each month a seller has an 21.5% chance of selling.
In the past 6 months, an average of 1.7 new properties/month came on the market.
They were being sold at a higher rate each month of 1.2.
With a total inventory of 6 units, this gives us a smaller monthly supply of 5.1 months.
Therefore, each month a seller has an 19.4% chance of selling.
Over the past 2 years, the seller’s odds of selling have decreased 2.1%