Sales: According to the Greater Alabama MLS, August home sales in the Birmingham area increased 7.7% year-over-year (Y/Y) from 1,543 to 1,661 closed transactions. Sales decreased 7.4% from June, and total sales in the area are now up 1.4% year-to-date. Additionally, the 205 new homes sold represented 12.3% of all residential sales in the area during August. Two more resources to review: Quarterly Report and Annual Report.
For all Birmingham-area housing data, click here.
Inventory: Homes listed for sale decreased 17% year-over-year from 5,264 listings one year ago to 4,371 in August. Months of supply (inventory to sales ratio) decreased from 3.4 to 2.6, reflecting a market where sellers generally have elevated bargaining power.
Pricing: The median sales price in August was $247,000, an increase of 9.8% from one year ago and a decrease of 1.2% from July. The differing sample size (number of residential sales of comparative months) can contribute to statistical volatility, including pricing. ACRE recommends consulting with a local real estate professional to discuss pricing, as it will vary from neighborhood to neighborhood.
Homes sold in August averaged 27 days on the market (DOM), 5 days faster than August 2019.
Forecast: August sales were 72 units, or 4.5%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 1,589 sales for the month, while actual sales were 1,661 units. ACRE forecast a total of 11,458 residential sales year-to-date, while there were 11,275 actual sales through August, a difference of 1.6%.
Click here to view the entire monthly report.
The Birmingham Area Residential Monthly Report is developed in connection with the Birmingham Association of Realtors.
Editor’s Note: All information in this article reflects data provided to the Alabama Center for Real Estate for the time period August 1 – 31, 2020. Thus, the performance represented is historical and should not be used as an indicator of future results, particularly considering the impact of COVID-19 on the housing market.