Morgan County median home sales price up 8% from prior year

Morgan County median home sales price up 8% from prior year
The Morgan County median home sales price in July was $154,750. (iStock)

Sales: According to ValleyMLS.com, Morgan County residential sales totaled 160 units during July, down 9.6% from 177 sales in the same month a year earlier. July sales were up 9.6% from 146 sales in June. Results were 17.5% above the five-year July average of 136 sales. Two more resources to review: Quarterly Report and the Annual Report.

For all Morgan County home sales data, click here.

Inventory: Homes listed for sale in Morgan County in July totaled 391 units, a decrease of 21% from July 2018’s 495 units, and an increase of 4.5% from June 2019’s 374 units. The July months of supply totaled 2.4 months, a decrease of 12.6% from July 2018’s 2.8 months of supply. July’s months of supply decreased 4.6% from June’s 2.6 months of supply.

Pricing: The Morgan County median sales price in July was $154,750, an increase of 8.2% from one year ago and a decrease of 4.2% from the prior month. This direction is inconsistent with historical data (2014-18) indicating that the July median sales price on average increases from June by 2%. 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 55 days, a decrease of 1.8% from 56 days in July 2018 and a decrease of 6.8% from 59 days in June.

Forecast: July sales were 17 units, or 11.9%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 143 sales for the month, while actual sales were 160 units. ACRE forecast 883 residential sales in Morgan County year-to-date, while there were 973 actual sales through July.

ACRE’s statewide perspective: After a slight decline in June, statewide residential sales rebounded in July, increasing 10.2% from 5,722 closed transactions in July 2018 to 6,307 in July 2019. Year-to-date, sales are up 3.1% from 2018, a record year for residential sales. Home price appreciation in the state continued to climb as the median sales price in July increased 4.6% year-over-year from $169,178 to $176,926. The statewide median sales price is up 4.2% year-to-date. While nationwide inventory levels (active listings) decreased 1.6% year-over-year, Alabama’s residential listings continue to tighten, decreasing 9.9% from one year ago. Low inventory levels were a significant factor contributing to rising sales prices throughout 2018 and in the summer buying season of 2019. With low inventory levels, it is surprising to see homes selling at a slightly slower pace than one year ago. Homes selling in Alabama during July spent an average of 89 days on the market, an increase of three days from July 2018.

NAR’s national perspective: After a 7.4% drop in June, existing home sales strengthened in July. Nationwide residential sales increased 3.3% from approximately 523,000 closed transactions one year ago to 540,000 currently. The nationwide median existing-home price increased 4.3% in July, marking 89 consecutive months of year-over-year gains. Lawrence Yun, chief economist for the National Association of Realtors, said, “Falling mortgage rates are improving housing affordability and nudging buyers into the market.” However, he added that the supply of affordable housing is low across the nation. “The shortage of lower-priced homes has markedly pushed up home prices.”

Click here to view the entire monthly report.

The Morgan County Residential Monthly Report is developed in conjunction with the Morgan County Association of Realtors to better serve area consumers.

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