Sales: According to the Southeast Alabama Multiple Listing Service Inc., Dothan-area residential sales totaled 114 units during December, up 1.8 percent from 112 sales in the same month a year earlier. December sales were also up 11.8 percent compared to 102 sales in November. Results were 32.6 percent above the five-year December average of 84 sales. Another resource to review is the Annual Report.  

For all of Dothan’s area real estate data, click here.

Inventory: Homes listed for sale in the Dothan area during December totaled 893 units, a decrease of 11 percent from December 2017’s 1,003 units, and a decrease of 8.5 percent from November 2018’s 976 units. December months of supply totaled 7.8 months, a decrease of 12.5 percent from December 2017’s 9 months of supply. December’s months of supply decreased 18.1 percent from November’s 9.6 months of supply.

Pricing: The Dothan median sales price in December was $135,450, a decrease of 3.2 percent from one year ago and a decrease of 6.7 percent from the prior month. This direction is inconsistent with historical data (2013-17) indicating that the December median sales price on average increases from November by 8 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 December spent an average of 141 days on the market (DOM), a decrease of 9.6 percent from 156 days in December 2017, while increasing 2.9 percent from 137 days in November.

Forecast: December sales were 11 units, or 10.7 percent, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 103 sales for the month, while actual sales were 114 units. ACRE forecast a total of 1,431 residential sales in the Dothan area during 2018, while there were 1,503 actual sales.

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 Southeast Alabama Residential Monthly Report was developed in conjunction with the Southeast Alabama Association of Realtors to better serve area consumers.