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

Sales: According the Lee County Association of Realtors Multiple Listing Service, Lee County area residential sales totaled 108 units during December, an increase in sales of 7 percent or seven units above the same period last year. This was just shy of the December sales peak of 122 reached in 2005 and was the best December since 87 units were sold in 2007. Year-to-date sales through December were up 19 percent from 2014. Two more resources to review: Quarterly Report and Annual Report.

Click here for all of our Lee County residential data.

There were 108 homes sold in Lee County during December.

Forecast: December sales were 16 units or 17 percent above our monthly forecast. ACRE’s year-to-date sales forecast through December projected 1,375 closed transactions while the actual sales were 1,639 units, a rise of 19 percent.

Supply: The Lee County housing inventory in December was 588 units, a decrease of 27 percent from December 2014 and a 53 percent decrease from the month of December inventory peak in 2010 (1,248 units). December inventory in Lee County increased 1.6 percent from the prior month. This direction contrasts with historical data indicating that December inventory on average (2010-14) decreases from the month of November by 3.3 percent.

The inventory-to-sales ratio in December was 5.4 months of housing supply. Restated, at the December sales pace, it would take 5.4 months to absorb the current inventory for sale. The market equilibrium (balance between supply and demand) is considered to be approximately 6 months (non-seasonally adjusted) during the month of December. Lee County was one of Alabama’s most balanced markets during December, especially compared to last December’s 7.9 months of supply.

Demand: December residential sales increased 21.3 percent from the prior month. This direction is consistent with seasonal buying patterns and historical data indicating that December sales on average (2010-14) increase by 22.2 percent from the month of November. Existing single family home sales account for 56 percent (unchanged from December 2014) of total sales while 31 percent (down from 34 percent during December 2014) were new home sales and 13 percent (up from 10 percent during December 2014) were condo buyers.

Pricing: The Lee County median sales price during December was $189,500, virtually unchanged from last December. The December median sales price increased 11.5 percent compared to the prior month. This direction is consistent with historical data (2010-14) indicating that the December median sales price on average increases from the month of November by 7.7 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 to discuss the latest pricing trends with experts with boots on the ground.

Industry Perspective: “Consumers ended the year on an improved note with regard to their income, job security, and overall economic outlook. This more positive consumer sentiment brought the HPSI up a few points, moving the index up for all of 2015,” said Doug Duncan, senior vice president and chief economist at Fannie Mae. “Brightening economic prospects, if sustained, should stimulate demand for homeownership. However, continuing upward pressure on rental prices and constrained housing supply, particularly for starter homes, may mean prospective first-time homebuyers could face affordability constraints.” For full report click here.

The average home in Lee County during December sold for $224,927.

On average, homes sold in Lee County during December spent 159 days on the market.

Inventory in Lee County decreased by 27 percent during December compared to 2014.

The median sales price for Lee County homes during December was $189,500.

There was 5.4 months of supply in Lee County during December.

Year-end home sales were up 19 percent in Lee County.

Home sales in Lee County during December rose 21 percent over the previous month.

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 Lee County Residential Monthly Report is work product developed in conjunction with the Lee County Association of Realtors to better serve Opelika/Auburn 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.