Exposure Time
The estimated length of time a property would have been offered on the market before a hypothetical sale at the appraised value on the effective date. Required to be stated in the appraisal report.
Exposure time is a retrospective estimate — it looks backward from the date of value to estimate how long the property would have needed to be on the market to achieve the appraised value. It differs from marketing time, which looks forward. Reasonable exposure time is derived from analysis of DOM for comparable properties in the local market. If the appraiser's estimated exposure time exceeds typical DOM for the area, it may suggest the value conclusion is aggressive or that the property has limited marketability. USPAP requires exposure time to be stated when market value is the defined value.
Related Terms
Days on Market (DOM)
DOMThe number of days between when a property is listed for sale and when it goes under contract.
Market Conditions
The current state of supply and demand in the real estate market for a particular property type in a defined area.
Market Value
The most probable price that a property should bring in a competitive and open market under all conditions requisite to a fair sale, with the buyer and seller each acting prudently and knowledgeably, and assuming the price is not affected by undue stimulus..
Marketing Time
The estimated time it would take to sell a property starting from the effective date of the appraisal, looking forward.
More in Market Analysis
View allAbsorption Rate
The rate at which available properties are sold or leased in a specific market during a given time period.
Months of Supply
The estimated time it would take to sell all current listings at the current sales pace, calculated by dividing active inventory by the average monthly sales rate.
Time Adjustment (Market Conditions Adjustment)
An adjustment applied to a comparable sale to account for changes in market value between the date of the comparable's sale and the effective date of the appraisal.
Comparative Market Analysis (CMA)
CMAAn estimate of a property's value prepared by a real estate agent using recent sales, active listings, and pending sales data.