Sales: According to the North Alabama Multiple Listing Service, Athens/Limestone County residential sales totaled 136 units during October, an increase of 22.5 percent above the same month in 2016, when sales totaled 111 units. Year-to-date sales through October were up 31.6 percent from the same period of 2016. Two more resources to review: Quarterly Report and Annual Report.
For all Athens/Limestone County area housing data, click here.
Forecast: October sales were 3.8 percent or 5 units above the Alabama Center for Real Estate’s monthly forecast. ACRE’s 2017 sales forecast through October projected 1,305 closed transactions, while the actual sales were 1,413 units.
Supply: Athens/Limestone County housing inventory totaled 606 units, a decrease of 15 percent from October 2016. October inventory was 4.5 percent below the prior month. This direction is consistent with historical data indicating that October inventory on average (2012-16) decreases from September.
The inventory-to-sales ratio in October was 4.5 months of housing supply. Restated, at the October sales pace, it would take 4.5 months to absorb the current inventory for sale. This is a decrease of 30.6 percent from 6.4 months of supply in October 2016. The market equilibrium (balance between supply and demand) is considered to be approximately 6 months.
Demand: October residential sales were 20.9 percent below sales for the prior month.
Pricing: The Athens/Limestone County area median sales price in October was $184,950, an increase of 1.1 percent from the previous October and an increase of 3.2 percent from September. Pricing can fluctuate from month to month as the sample size of data (closed transactions) is subject to seasonal buying patterns. ACRE recommends consulting a local real estate professional.
Industry perspective: “The first print of third-quarter economic growth showed surprising resiliency. The expected economic hit from the recent natural disasters either failed to materialize or was drowned out by business optimism,” said Fannie Mae Chief Economist Doug Duncan. “Recent data showed a stronger pickup in domestic demand than anticipated, leading us to increase our growth forecast for the final quarter of this year and coming quarters. We also revised higher our 2018 growth forecast to 2 percent. Tax cuts, if enacted, present upside risk to our growth forecast for next year but could also lead to more aggressive Fed action. Housing still remains a drag on the economy, as shortages of labor and available lots, coupled with rising building material prices, further complicate existing inventory, affordability and sales challenges.”
Click here to generate more graphs from the Athens/Limestone October Housing Report, including Total Sales, Average Sales Price, Days on the Market, Total Inventory and Months of Supply.
The Athens/Limestone County Residential Monthly Report is developed in conjunction with the Athens/Limestone County Association of Realtors to better serve North Alabama consumers