Sales: According to the North Alabama Multiple Listing Service, Marshall County home sales in May were 21 percent above May 2016 at 97 sales for the month. Home sales in May 2016 totaled 80 units. Year to date, sales were up 7.8 percent over the same period in 2016. Another resource to review is the Annual Report.
Click here to check out all Marshall County housing data.
Forecast: May sales were 14 units or 17 percent above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE’s 2017 sales forecast through May projected 355 closed transactions, while the actual sales were 345 units.
Supply: Marshall County housing inventory totaled 547 units, a decrease of 8 percent from May 2016. May inventory increased 1 percent from April. This direction is consistent with historical data that indicate May inventory on average (2012-16) increases from April by 0.8 percent.
The inventory-to-sales ratio has improved to 5.6 months of supply. Restated, at the May sales pace, it would take 5.6 months to absorb the current inventory for sale. The market equilibrium (balance between supply and demand) is considered to be approximately 6 months during May.
Pricing: The Marshall County area median sales price in May was $123,000, a decrease of 6.3 percent from May 2016’s $131,250. The May median sales price was 4 percent below the April median sales price. Historical data indicate that the May median sales price on average (2012-16) increases from April by 3.5 percent. Pricing can fluctuate from month to month as the sample size of data is subject to seasonal buying patterns. ACRE recommends contacting a local real estate professional for additional market pricing information.
Industry perspective: “Once again, our full-year growth forecast remains intact as the economy grinds along, with the prospect of material policy changes appearing to be delayed,” said Fannie Mae Chief Economist Doug Duncan. “We expect consumer spending to resume its role as the biggest driver of growth in the second quarter amid improvements in the labor market. Positive demographic factors should continue to reshape the housing market, as rising employment and incomes appear to be positively influencing millennial homeownership rates. However, the tight supply of homes for sale continues to act as both a boon to home prices and an impediment to affordability.”
Click here to generate more graphs from the Marshall County May Housing Report, including Total Sales, Average Sales Price, Days on the Market, Total Inventory and Months of Supply.