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

Sales: According to the North Alabama Multiple Listing Service, Marshall County sales were 13.8 percent above November 2014. Year-to-date sales through November were up as well by 9 percent or 64 units from 2014. This represents the best month of November in terms of closed sales for Marshall County since 2009, the last time home sales eclipsed 66 units during the month. Two more resources to review: Quarterly Report and Annual Report

Forecast: November sales were eight units or 14.7 percent above our monthly forecast. Alabama Center for Real Estate’s (ACRE) year-to-date sales forecast through November projected 725 closed transactions while the actual sales were 748 units.

Home sales for Marshall County during November increased 14 percent over last year.

Supply: Marshall County housing inventory totaled 581 units, a decrease of 14 percent from November 2014. November inventory also decreased 3 percent from the prior month. This direction is consistent with historical data that indicates November inventory on average (2010-14) decreases from the month of October by 2.9 percent. Inventory levels remain elevated. The inventory-to-sales ratio during November remains higher than desired at 8.8 months of housing supply. Restated, at the November sales pace, it would take 8.8 months to absorb the current inventory for sale. This is 25 percent lower than last November ratio of 11.7  and virtually unchanged from October. The market equilibrium (balance between supply and demand) is considered to be approximately 6 months during the month of November so this represents an area where continued improvement would be welcome news for market participants.

Demand: Marshall County residential sales during November decreased 3 percent from the prior month. This direction contrasts with historical data indicating that November sales on average (2010-14) decrease from the month of October by 6.3 percent.

Pricing: The Marshall County area median sales price in November was $122,500, an increase of 4.7 percent from last November ($117,000). The November median sales price was also 17 percent below the prior month. Historical data indicates that the November median sales price on average (2010-14) increases from the month of October by 6 percent. Pricing can fluctuate from month-to-month as the sample size of data (closed transactions) is subject to seasonal buying patterns so a broader lens as to pricing trends is appropriate and we recommend contacting a local real estate professional for additional market pricing information. 

Industry Perspective: “Despite mixed housing and mortgage market data, our forecast for housing activity is little changed over the past several months,” said Fannie Mae Chief Economist  Dave Duncan. “The supply of existing homes remains lean amid slowing new single-family construction, putting significant upward pressure on home prices. While this helps boost home equity, it hurts affordability, especially for potential first-time homebuyers. Meanwhile, we expect mortgage rates to rise only gradually through next year, and an improving income trend should help support affordability. We foresee total home sales improving further in 2016, albeit at less than half of the 8 percent increase expected this year.” For full report click here.

The average sales price for home sold in Marshall County during November rose 4 percent over last year.

On average, homes sold during November in Marshall County spent 119 days on the market.

Inventory in Marshall County remains high, with 8.8 months of supply.

The median sales price in Marshall County during November has been on a sharp incline over the past three years with a 4.7 percent increase from 2014 this year.

Months of supply is definitely heading in the right direction but still higher than the desired 6.0 months of supply for November.

Year-to-date sales are up 9 percent in Marshall County during November.

Sales are also 69 percent above the 2008 trough of 39 units.

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 Marshall County Residential Monthly Report is work product developed in conjunction with the Marshall County Board of Realtors to better serve its area consumers. The ACRE monthly report is provided to illustrate the “general” market direction & trends when comparing prior periods with the most current available data. Real estate is local and statistics will fluctuate between areas within a city including subdivisions. 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.