Marshall County median home sales prices in August see big increase from 2017

Marshall County median home sales prices in August see big increase from 2017
Marshall County homes on average sold 41 days faster in August than during the same month last year. (Brittany Faush/Alabama NewsCenter)

Sales: According to the, Marshall County residential sales totaled 89 units during August, down 20.5 percent from 112 sales in the same month a year earlier. August sales were down 16 percent compared to 106 sales in July. Results were 6.7 percent above the five-year August average of 83 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 August totaled 404 units, a decrease of 16.7 percent from August 2017’s 485 units, and an increase of 3.3 percent from July 2018’s 391 units. The August months of supply totaled 4.5 months, an increase of 4.8 percent from August 2017’s 4.3 months of supply. August’s months of supply also increased 23.1 percent from July’s 3.7 months of supply.

Pricing: The Marshall County median sales price in August was $144,680, an increase of 15.7 percent from one year ago and an increase of 3.4 percent from the prior month. This direction is inconsistent with historical data (2013-17) indicating that the August median sales price on average decreases from July by 14 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 August was 88 days, a decrease of 31.8 percent from 129 days in August 2017, and an increase of 15.8 percent from 76 days in July.

Forecast: August sales were seven units, or 8.5 percent, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 82 sales for the month, while actual sales were 89 units. ACRE forecast a total of 577 residential sales in Marshall County year-to-date, while there were 631 actual sales through August.

ACRE’s statewide perspective: Residential sales in Alabama continued to grow during the late summer of 2018. Total residential sales during July increased 7.9 percent year-over-year from 5,312 to 5,729 closed transactions. Year-to-date through July, statewide residential sales are up 7.1 percent from 33,929 one year ago to 36,354 currently. Home price appreciation in the state also continues its upward trajectory. The median sales price in July increased 5.9 percent from $160,279 to $169,727, while the year-to-date median sales price is up 5.3 percent from 2017. Mirroring national trends, statewide inventory decreased 12.1 percent from one year ago. Low inventory levels were a major factor contributing to rising sales prices during July. With low inventory levels, it is not surprising to see homes selling more quickly than in previous years. Homes selling in Alabama during July spent an average of 86 days on the market, an improvement of 25 days from 2017.

NAR’s national perspective:  During July, nationwide sales volume for existing homes increased 1.8 percent year-over-year from 513,000 to 522,000 closed transactions. According to Lawrence Yun, chief economist for the National Association of Realtors, “Continuous solid gains in home prices have now steadily reduced demand. Led by a notable decrease in closings in the Northeast, existing home sales trailed off again last month, sliding to their slowest pace since February 2016 at 5.21 million (seasonally adjusted annual rate). Too many would-be buyers are either being priced out, or are deciding to postpone their search until more homes in their price range come onto the market.”

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.

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