Days on the Market (DOM) refers literally to the number of days the average home in a given area sits on the market until sale. The number is a key indicator as to the particular state of the area's real estate market. In a hot sellers market, the DOM might be less than 1 month...whereas in a cold market, the DOM might be a year or more.
REALTORs have access to statistics such as DOM, and both sellers and buyers can utilize DOM in formulating a listing or offer price. The DOM figure can also be used to gauge the effectiveness of a seller's listing agent. For example, if the DOM in an area is 1 month, but the property has been on the market for over a year, the listing agent may not be marketing the property effectively enough.