November home sales in Wiregrass region up from one year ago

November home sales in Wiregrass region up from one year ago
The Wiregrass-area median home sales price in November was $136,000, an increase of 15.3 percent from one year ago. (iStock)

Sales: According to the Multiple Listing Service of the Wiregrass Board of Realtors, Wiregrass-area home sales totaled 80 units during November, up 17.6 percent from 68 sales in the same month a year earlier. November sales decreased 9.1 percent compared to 88 sales in October. Results were 20.1 percent above the five-year November average of 67 sales. Other resources to review are the Quarterly Report and Annual Report.

For all Wiregrass-area housing data, click here.

Inventory: Homes listed for sale in the Wiregrass area during November averaged 634 units, a decrease of 8.1 percent from November 2017’s 690 units, and an increase of 1.8 percent from October 2018’s 623 units. November months of supply totaled 7.9 months, a decrease of 21.9 percent from November 2017. November’s months of supply increased 11.9 percent from October’s months of supply.

Pricing: The Wiregrass-area median sales price in November was $136,000, an increase of 15.3 percent from one year ago and a decrease of 1.4 percent from the prior month. This direction is consistent with historical data (2013-17) indicating that the November median sales price on average decreases from October by 2.3 percent. The differing sample size (number of residential sales of comparative months) can contribute to statistical volatility, including pricing. ACRE highly recommends consulting with a local real estate professional to discuss pricing trends, as they will vary from neighborhood to neighborhood. The homes selling in November spent an average of 101 days on the market (DOM), an improvement of 17.2 percent from 122 days in both the previous month and also the previous year.

Forecast: November sales were four units, or 6.7 percent, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 76 sales for the month, while actual sales were 80 units. ACRE forecast a total of 971 residential sales in the Wiregrass area year-to-date, while there were 1,036 actual sales through October.

ACRE’s statewide perspective: While nationwide sales declined 4.5 percent during November, residential sales in Alabama continued to grow. Total residential sales in Alabama increased 6.9 percent year-over-year from 4,311 to 4,606 closed transactions. Year-to-date through November, statewide residential sales are up 7 percent from 53,056 one year ago to 56,769 currently. Home price appreciation in the state continued to climb as the median sales price in November increased 3.2 percent year-over-year from $151,667 to $156,587. The year-to-date median sales price is up 4.7 percent from 2017. Although nationwide inventory levels increased 4.2 percent in November, Alabama’s residential inventory decreased 8.8 percent from one year ago. Low inventory levels were a major factor contributing to rising sales prices throughout 2018. With low inventory, it is not surprising to see homes selling more quickly than in previous years. Homes selling in Alabama during November spent an average of 93 days on the market, an improvement of 24 days from 2017.

NAR’s national perspective: During November, nationwide inventory for existing homes increased 4.2 percent year-over-year from 1.67 million to 1.74 million residential listings. According to Lawrence Yun, chief economist for the National Association of Realtors, “the market conditions in November were mixed, with good signs of stabilizing home sales compared to recent months, though down significantly from one year ago. Rising inventory is clearly taming home price appreciation.”

Click here to view the entire monthly report.

The Wiregrass Residential Monthly Report is developed in conjunction with the Wiregrass Board of Realtors to better serve its area consumers.

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