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

Sales: According to the Valley Multiple Listing Service, Gadsden-area residential sales totaled 97 units during June, up 10.2 percent from June 2015. Year-to-date sales are 22.8 percent or 94 units higher than the same period in 2015. Two more resources to review: Quarterly Report and Annual Report.

Click here to view all of ACRE’s Gadsden residential data.

Gadsden June home sales rose 10 percent over last year’s June pace.

Forecast: June sales were 16 units or 19 percent above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE’S year-to-date sales forecast through June projected 405 closed transactions, while the actual sales were 507 units, a favorable difference of 25 percent.

Supply: Gadsden-area housing inventory totaled 691 units. The June supply rose 2.4 percent from May. This direction is consistent with historical data that indicate June inventory on average (2011-15) increases from May by 1 percent.

The inventory-to-sales ratio in June remains higher than desired at 7.1 months of housing supply. Restated, at the June sales pace, it would take 7.1 months to absorb the current inventory for sale. The market equilibrium (balance between supply and demand) is considered to be about 6 months during June, so continued improvement in this area would be welcome. The encouraging news is that the months of supply have dropped 43 percent from the June peak of 12.5 months of supply reached in 2010.

Demand: June residential sales were unchanged from May. Historical data indicate that June sales on average (2011-15) increase from May by 13.3 percent.  

Pricing: The Gadsden-area median sales price in June was $116,900, a 13.8 percent increase over June 2015 ($102,750). The median sales price decreased 5.7 percent compared to the prior month. This direction contrasts with historical data (2011-15) indicating that the June median sales price typically increases from May by 20.6 percent. Pricing can fluctuate from month to month as the sample size of data (closed transactions) is subject to seasonal buying patterns. ACRE recommends contacting a local real estate professional for additional market pricing information.

Industry perspective: “Housing activity is gaining strength heading into the summer, with pending home sales rising to a decade high. In addition, new home sales surged to an expansion best, a positive for single-family homebuilding, especially since only a small share of new homes for sale are completed and ready to occupy,” said Fannie Mae Chief Economist Doug Duncan in the organization’s June Economic Outlook. “However, recent pullbacks in construction hiring, likely due to a shortage of skilled workers, could weigh on the outlook for the sector. With little improvement in the current housing supply picture so far, we expect only moderate housing expansion this year.” For the full report, click here

The average sales price for homes sold in Gadsden during June was $132,977.

On average, homes sold in Gadsden during June spent 159 days on the market.

Year-to-date home sales rose 23 percent over last year through June.

There were 691 homes listed on the market during June in Gadsden.

The median sales price for homes sold in Gadsden during June was $116,900.

There were 7.1 months of supply on the market in June in Gadsden.

There were 97 homes sold in Gadsden during June.

The Gadsden Residential Monthly Report is developed in conjunction with the Etowah-Cherokee County Association of Realtors to better serve its area consumers.