For all of Calhoun County’s area real estate data, click here.
Forecast: June sales were 27 units or 19.3 percent above the Alabama Center for Real Estate’s (ACRE) monthly forecast. The 2017 sales forecast through June projected 720 closed transactions, while the actual sales were 824 units.
Supply: Calhoun County area housing inventory totaled 888 units, a decrease of 17.7 percent from June 2016. Inventory decreased 8.1 percent from the prior month. This direction contrasts with historical data that shows June inventory on average (2012-16) increases from May by 2.8 percent. The inventory-to-sales ratio during June decreased from 7.2 months of supply during June 2016 to 5.3 months of housing supply during 2017. Restated, at the June sales pace, it would take 5.3 months to absorb the current inventory for sale. The market equilibrium (balance between supply and demand) during June is considered to be approximately 6 months.
Demand: June residential sales decreased 1.8 percent from May. Historical data from Calhoun County indicate that June sales on average (2012-16) decrease from May by 0.2 percent. The average days on market until a listing sold was 111 days, down 36.2 percent from the previous June.
Pricing: The Calhoun County median sales price in June was $122,500, which is the same as the previous June. Pricing can fluctuate from month to month as the sample size of data (closed transactions) is subject to seasonal buying patterns. ACRE recommends consulting with a local real estate professional to discuss prices, as they will vary from neighborhood to neighborhood.
Industry perspective: “While second-quarter growth is poised to rebound, we expect growth to moderate through the remainder of 2017. Consumer spending, traditionally the largest contributor to economic growth, is sluggish and is lagging positive consumer sentiment and solid hiring,” said Fannie Mae Chief Economist Doug Duncan. “While labor market slack continues to diminish, wage growth is not accelerating and inflation has moved further below the Fed’s target. These conditions support our call that the Fed will continue gradual monetary policy normalization, announce its balance sheet tapering policy in September, and wait until December for additional data, especially on inflation, before raising the fed funds rate for the third time this year.”
Click here to generate more graphs from Calhoun County’s June Housing Report, including Total Sales, Average Sales Price, Days on the Market, Total Inventory and Months of Supply.