Click here to view or print the entire October report compliments of the ACRE Corporate Cabinet.

Sales: According to the Dothan Multiple Listing Service Inc., Dothan area residential sales totaled 100 units in October, a decrease in sales growth of 8.3 percent from the same period last year. Year-to-date sales through October are up 18.6 percent from 2014. Two more resources to review: Quarterly Report and Annual Report

Forecast: Closed transactions in October were 5 units or 5 percent above our monthly forecast. ACRE’s year-to-date sales forecast through October projected 927 closed transactions while the actual sales were 1,052 units, a favorable difference of 13 percent.

Dothan residential sales during October hit 100 units but was below both last October and the prior month’s sales numbers.

Supply: The Dothan area housing inventory in October was 1,181 units, a decrease of 3.3 percent from October 2014. October inventory slipped 2.4 percent from the prior month. This direction is consistent with historical data indicating that October inventory on average (2010-14) decreases from September by 1.5 percent. There were 11.8 months of housing supply in October (6.0+/- months represents balanced market during October NSA) versus 11.2 months of supply during the same period last year, representing an unfavorable 5.4 percent rise.

Demand: Residential sales decreased 6.5 percent from the prior month. While historical data suggest home sales typically decrease (2010-14) from September to October, lower than the 10.3 percent projected dip.

Pricing: The Dothan area median sales price in October was $142,750, a 0.2 percent decrease from last October but an 8.1 percent increase from the prior month. This direction is consistent with historical data and higher than the 6.2 percent increase typically recorded between 2010-14. It should also be noted that differing sample size (number of residential sales of comparative months) can contribute to statistical volatility including pricing. The center highly recommends consulting with a local real estate professional to discuss pricing trends as it can and will vary from neighborhood to neighborhood.

Industry Perspective: “Despite recent headwinds, which likely will slow economic growth compared to the first half of 2015, we see positive trends for consumer spending and housing heading into the fourth quarter,” said Fannie Mae Chief Economist Doug Duncan. “Strong home price gains should help drive an increase in household net worth again in the third quarter and, combined with low gasoline prices and mortgage rates, should support strong consumer spending throughout the rest of the year.” To read the full report, click here. 

Click on infographics below to view gallery.

The average sales price in Dothan dropped to $130,000 during October, compared to $159,000 during the same period last year.

The average days on the market rose slightly to 163 during October.

Supply is still well above the 511 listed during October 2008.

The median sales price did not change much year-over-year during October in Dothan.

Months of supply is still high, above 11.0 in Dothan for October.

Year-to-date sales increased 18.6 percent during October compared to last year.

Sales have been up and down in Dothan during October over the past decade, with sales dipping slightly to 100 units in 2015.

Bryan Davis is the research/media Coordinator for the Alabama Center for Real Estate housed within the Culverhouse College of Commerce at the University of Alabama. He can be reached at 205-348-5416 or at bkdavis@culverhouse.ua.edu.

The Dothan Residential Monthly Report work product developed in conjunction with the Dothan Association of Realtors to better serve West Alabama consumers. The ACRE monthly report is provided to illustrate the “general” market direction & trends when comparing prior periods with the most current residential data available. Real estate is local and statistics will fluctuate between areas within a city including subdivisions, and ACRE recommends that you consult a local real estate professional for “specific” advice associated with your market. The Alabama Center for Real Estate‘s core purpose is to advance the real estate industry in Alabama by providing relevant resources in the areas of research, education and outreach. Join the Center mailing list HERE.