Sales: According to the Alabama Association of Realtors, August home sales in the state increased 9% year-over-year from 6,317 to 6,884 closed transactions. Sales decreased 10.8% from July, and are now up 7% year-to-date. As the COVID-19 pandemic continues to unfold, however, declining sales activity remains a possibility in the months ahead. Two more resources to review: Quarterly Report and Annual Report.
For all statewide housing data, click here.
Inventory: Homes listed for sale decreased 30.1% from 21,198 listings one year ago to 14,816 in August. Months of supply dropped from 3.4 to 2.2, reflecting a market where sellers generally have elevated bargaining power.
Pricing: The statewide median sales price in August was $203,049, an increase of 15.2% from one year ago and an increase of 3.2% 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 89 days on the market (DOM), 3 days slower than one year ago.
Forecast: August sales were 590 units or 9.4% above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 6,294 sales for the month, while actual sales were 6,884 units. ACRE forecast a total of 45,187 residential sales year-to-date, while there were 46,865 actual sales through August, a difference of 3.7%.
New Construction: The 900 new homes sold represent 13.1% of all residential sales in the area in August. Total sales increased 19.8% year-over-year, extending the area’s streak of Y/Y gains in new home sales to 14 consecutive months. The median sales price in August was $269,685, an increase of 7.9% from July and an increase of 7.3% from one year ago.
Click here to view the entire monthly report.
The Alabama Residential Monthly Report is developed in connection with the Alabama 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.