Question

using the following data, please determine the markets number of months supply. if your project has 500 units (of the 800 under construction), what is your monthly anticipated capture rate? (4 points)
vacant units = 300
units under construction = 800
total estimated annual demand = 600

Explanation:

Step1: Calculate total supply

The total supply is the sum of vacant units and units under - construction. So, total supply = 300 (vacant units)+800 (units under - construction)=1100 units.

Step2: Calculate monthly supply

Assume we want to find out the number of months of supply. First, we need to consider the annual demand. Let's assume we are calculating the months - of - supply based on the annual demand. The annual demand is 600 units. Monthly demand = $\frac{600}{12}=50$ units.
Monthly supply in months = $\frac{1100}{50}=22$ months.

Step3: Consider the project

The project has 500 units out of the 800 units under construction. But the question doesn't clearly state how this affects the months - of - supply calculation. If we assume we are still calculating the overall market months - of - supply, the above calculation of 22 months stands.

Answer:

The market's number of months supply is 22 months.