For all of Calhoun County’s area real estate data, click here.
Forecast: August sales were 11 units or 7.2 percent above the Alabama Center for Real Estate’s (ACRE) monthly forecast. The 2017 sales forecast through August projected 1,006 closed transactions, while the actual sales were 1,131 units.
Supply: Calhoun County area housing inventory totaled 851 units, a decrease of 17.1 percent from August 2016. Inventory decreased 2.6 percent from the prior month. This direction is consistent with historical data that shows August inventory on average (2012-16) decreases from July by 1.8 percent. At the August sales pace, it would take 6.1 months to absorb the current inventory for sale. The market equilibrium (balance between supply and demand) during August is considered to be approximately 6 months.
Demand: August residential sales decreased 13.8 percent from July. Historical data from Calhoun County indicate that August sales on average (2012-16) increase from July by 3.7 percent. The average days on market until a listing sold was 89 days, down 21.9 percent from the previous August.
Pricing: The Calhoun County median sales price in August was $119,900, a decrease of 7.4 percent from August 2016’s median sales price ($129,450). 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: “For the first time in 2017, we have increased our full-year growth outlook. The upgrade reflects economic activity gaining momentum at the end of the second quarter, though we see a great deal of uncertainty surrounding the forecast,” said Fannie Mae Chief Economist Doug Duncan. “The list of uncertainties now extends beyond the geopolitical and legislative, as the effects of Hurricanes Harvey and Irma will require time to untangle. Historically, natural disasters that hit heavily populated areas led to substantial near-term declines in economic activity but meaningful rebounds in subsequent quarters due to rebuilding efforts. Thus, economic growth in the second half of 2017 could still average a slightly stronger pace than the first half. Unfortunately, we continue to expect home sales to be flat during the second half of the year compared to the first half due to strong home price appreciation and lean inventories.”
Click here to generate more graphs from Calhoun County’s August Housing Report, including Total Sales, Average Sales Price, Days on the Market, Total Inventory and Months of Supply.