Sales: Lake Martin area residential sales totaled 74 units during August, down 7.5% from 80 sales in the same month a year earlier. August sales were down 19.6% compared to 92 sales in July. Results were 11.8% above the five-year August average of 66 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 August totaled 540 units, a decrease of 5.1% from August 2018’s 569 units, and a decrease of 4.9% from July 2019’s 568 units. August months of supply totaled 7.3 months, an increase of 2.6% from August 2018’s 7.1 months of supply. August months of supply increased 18.2% from July’s 6.2 months of supply.
Pricing: The Lake Martin area median sales price in August was $285,000, an increase of 19.6% from one year ago and an increase of 5.2% from July’s median sales price of $271,000. 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 August was 131 days, a decrease of 19.6% from 163 days in August 2018 and a decrease of 6.4% from 140 days in July 2019.
Forecast: August sales were three units, or 3.9%, below the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 77 sales for the month, while actual sales were 74 units. ACRE forecast a total of 474 residential sales so far in 2019, while there were 533 actual sales through August.
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.”
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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 consumers in the region.