Marshall County July home sales up 40 percent from last year
Sales: According to the North Alabama Multiple Listing Service, Marshall County residential sales totaled 106 units during July, up 39.5 percent from 76 sales in the same month a year earlier. July sales were up 17.8 percent compared to 90 sales in June. Results were 41.3 percent above the five-year July average of 75 sales. Two more resources to review: Quarterly Report and the Annual Report.
For all Marshall County home sales data, click here.
Inventory: Homes listed for sale in Marshall County in July totaled 391 units, a decrease of 22.3 percent from July 2017’s 503 units, and an increase of 3.2 percent from June 2018’s 379 units. Marshall County also experienced a decline in months of supply. The July months of supply totaled 3.7 months, a decrease of 44.3 percent from July 2017’s 6.6 months of supply. July’s months of supply decreased 12.4 percent from June’s 4.2 months of supply.
Pricing: The Marshall County median sales price in July was $139,950, a decrease of 2.5 percent from one year ago and an increase of 8.1 percent from the prior month. This direction is consistent with historical data (2013-17) indicating that the July median sales price on average increases from June by 16.8 percent. The differing sample size (number of residential sales of comparative months) can contribute to statistical volatility, including pricing. ACRE recommends consulting with a local real estate professional to discuss pricing, as it will vary from neighborhood to neighborhood. The average number of days on the market (DOM) for the homes sold during July was 76 days, a decrease of 44.9 percent from 138 days in July 2017, and a decrease of 5 percent from 80 days in June.
Forecast: July sales were 28 units, or 35.9 percent, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 78 sales for the month, while actual sales were 106 units. ACRE forecast a total of 495 residential sales in Marshall County year-to-date, while there were 542 actual sales through July.
ACRE’s statewide perspective: Residential sales in Alabama continued to grow during the second quarter of 2018. Total residential sales increased 10.4 percent year-over-year from 16,450 to 18,157 closed transactions. Home price appreciation in the state also continues its upward trajectory, as the median sales price during the second quarter increased 4.3 percent year-over-year from $155,278 to $161,975. Mirroring national trends, statewide inventory decreased 9.4 percent from one year ago. Low inventory levels were a major factor contributing to rising sales prices during the second quarter. With low inventory levels, it is not surprising to see homes selling more quickly than in previous years. Homes selling in Alabama during the second quarter of 2018 spent an average of 98 days on the market, an improvement of 24 days from 2017.
NAR’s national perspective: During June, nationwide sales volume for existing homes decreased 5 percent year-over-year from 600,000 to 570,000 closed transactions. According to Lawrence Yun, chief economist for the National Association of Realtors, “there continues to be a mismatch since the spring between the growing level of home buyer demand in most of the country in relation to the actual pace of home sales, which are declining. The root cause is without a doubt the severe housing shortage that is not releasing its grip on the nation’s housing market. What is for sale in most areas is going under contract very fast, and in many cases has multiple offers. This dynamic is keeping home price growth elevated, pricing out would-be buyers and ultimately slowing sales.”
Click here to view the entire monthly report.
The Marshall County Residential Monthly Report is developed in conjunction with the Marshall County Board of Realtors to better serve area consumers.