Montgomery-area home prices and inventory rise in February

Sales: According to the Montgomery Area Association of REALTORS, February home sales in the area decreased 32.1% year-over-year (Y/Y) from 430 to 292 closed transactions. Sales increased 12.7% from January. Sales are now down 33.4% year-to-date. Two more resources to review: Quarterly Report and Annual Report.

For all Montgomery-area housing data, click here.

Inventory: Homes listed for sale increased 70.3% year-over-year from 481 to 819 listings. Months of supply increased from 1.1 in February 2022 to 2.8 in February 2023, reflecting a market where sellers generally have elevated bargaining power. 

Pricing: The median sales price in February was $210,000, an increase of 3.0% from one year ago and an increase of 16.7% from January. 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 February averaged 76 days on the market (DOM), 20 days slower than February 2022.

Forecast: February sales were 11 units, or 3.8%, below the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 303 sales for the month, while actual sales were 292 units. ACRE forecast a total of 556 residential sales year-to-date, while there were 551 actual sales through February, a difference of 0.8%.   

New Construction: The 32 new homes sold represent 11.0% of all residential sales in the area in February. Total sales decreased 52.9% year-over-year. The median sales price in February was $351,861, a decrease of 0.3% from one year ago and a decrease of 13.1% from January. New homes sold in an average of 117 days, 35 days slower than February 2022. 

Click here to view the entire monthly report.

The Montgomery Residential Monthly Report is developed in connection with the Montgomery Area Association of Realtors.