Sales: According to the East Alabama Board of Realtors, Phenix City area residential sales totaled 108 units during July, down 13.6% from 125 sales in the same month a year earlier. July sales were down 31.2% compared to 157 sales in June. Results were 11.6% above the five-year July average of 97 sales. Two more resources to review: Quarterly Report and the Annual Report.
For all Phenix City area home sales data, click here.
Inventory: Homes listed for sale in the Phenix City area during July totaled 370 units, a decrease of 25.7% from 498 units one year ago and a decrease of 5.9% from June 2019’s 393 units. July months of supply totaled 3.4 months, a decrease of 14% from July 2018. July’s months of supply increased 36.9% from June’s 2.5 months of supply.
Pricing: The Phenix City median sales price in July was $179,900, an increase of 2.8% from one year ago and an increase of 2.8% from the prior month. 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 homes sold during July was 92 days, a decrease of 12.4% from July 2018 and a decrease of 7.1% from 99 days in June.
Forecast: July sales were six units, or 5.9%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 102 sales for the month and actual sales were 108 units. ACRE forecast a total of 667 transactions in the Phenix City area year-to-date, while there have been 806 transactions 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 Phenix City Residential Monthly Report is developed in conjunction with the East Alabama Board of Realtors.