Sales: Lake Martin area residential sales totaled 44 units during February, up 10 percent from 40 sales in the same month a year earlier. February sales were up 51.7 percent compared to 29 sales in January. Results were 45.7 percent above the five-year February average of 30 sales. Two more resources to review: Quarterly Report and the Annual Report.
For all of Lake Martin’s area housing data, click here.
Inventory: Homes listed for sale in the Lake Martin area during February totaled 486 units, an increase of 32.4 percent from February 2018’s 367 units, and an increase of 9.7 percent from January 2018’s 443 units. February months of supply totaled 11 months, an increase of 20.4 percent from February 2018’s 9.2 months of supply. February months of supply decreased 27.7 percent from January’s 15.3 months of supply.
Pricing: The Lake Martin area median sales price in February was $142,750, a decrease of 23.9 percent from one year ago and a decrease of 17 percent from January’s median sales price of $172,000. This direction is consistent with historical data (2014-18) indicating that the February median sales price on average decreases from January by 13.7 percent. The differing sample size (number of residential sales of comparative months) can contribute to statistical volatility, including pricing. ACRE recommends contacting a local real estate professional for additional market pricing information. The average number of days on the market (DOM) for homes selling in February was 150 days, an increase of 4.9 percent from 143 days in February 2018 and a decrease of 9.6 percent from 166 days in January.
Forecast: February sales were five units, or 12.8 percent, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 39 sales for the month, while actual sales were 44 units. ACRE forecast a total of 685 residential sales in 2019, while there were 675 sales in 2018.
ACRE’s statewide perspective: After a strong 2018, statewide residential sales in January increased 1.1 percent year-over-year from 3,320 to 3,358 closed transactions. Home price appreciation in the state continued to climb as the median sales price in January increased 5.5 percent year-over-year from $143,152 to $151,015. Although nationwide inventory levels are trending upward, Alabama’s residential listings decreased 7.4 percent from one year ago. Low inventory levels were a significant factor contributing to rising sales prices throughout 2018. With low inventory levels, it is not surprising to see homes selling more quickly than in previous years. Homes selling in Alabama during January spent an average of 106 days on the market, an improvement of 10 days from 2018.
NAR’s national perspective: During January, total existing-home sales nationwide declined 9 percent from approximately 313,000 closed transactions one year ago to 285,000 currently. Lawrence Yun, chief economist for the National Association of Realtors, said, “Existing home sales in January were weak compared to historical norms; however, they are likely to have reached a cyclical low. Moderating home prices combined with gains in household income will boost housing affordability, bringing more buyers to the market in the coming months.”
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The Lake Martin Residential Monthly Report is developed in conjunction with the Lake Martin Area Association of Realtors to better serve area consumers.