Sales: Lake Martin area residential sales totaled 75 units during August, up by 14 units or 23 percent from the same month in 2016, when sales in the area totaled 61. Year to date, area sales are up 39.5 percent from the same period in 2016. Another resource to review is the Annual Report.
For all of Lake Martin’s area housing data, click here.
Forecast: August sales were 16 units or 27.1 percent above the Alabama Center for Real Estate’s monthly forecast. ACRE’s sales forecast through August projected 368 closed transactions, while the actual sales were 459 units.
Supply: The Lake Martin area housing inventory in August was 430 units, a decrease of 4.7 percent from a year earlier. August inventory increased by 0.5 percent from the prior month. This direction contrasts with historical data indicating that August inventory on average (2012-16) decreases from July by 5.8 percent. There was 5.7 months of housing supply in August (6 months is considered equilibrium in August ), a decrease of 22.5 percent from last August’s 7.4 months of supply.
Demand: Residential sales increased 31 units or 70.5 percent from the prior month.
Pricing: The Lake Martin area median sales price in August was $253,000, a decrease of 4.5 percent from August 2016. Pricing can and will fluctuate from month to month because of changing composition of actual sales (lakefront vs. non-lakefront) and the sample size of data (closed transactions) being subject to seasonal buying patterns. ACRE recommends contacting a local real estate professional for additional market pricing information.
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 the Lake Martin area August Housing Report, including Total Sales, Average Sales Price, Days on the Market, Total Inventory and Months of Supply.