Sales: According to ValleyMLS.com, Marshall County residential sales totaled 99 units during August, up 11.2% from 89 sales in the same month a year earlier. August sales were up 1% from 98 sales in July. Results were 13.3% above the five-year average of 87 sales. Two more resources to review: Quarterly Report and the Annual Report.
For all Marshall County home sales data, click here.
Inventory: Homes listed for sale in Marshall County in August totaled 330 units, a decrease of 18.3% from August 2018’s 404 units and down 10.1% from July 2019’s 367 units. The August months of supply totaled 3.3 months, a decrease of 26.6% from August 2018’s months of supply. August’s months of supply decreased 11% from July’s 3.7 months of supply.
Pricing: The Marshall County median sales price in August was $169,900, an increase of 17.4% from one year ago and a decrease of 8.9% from the prior month. This direction is consistent with historical data (2014-18) indicating that the August median sales price on average decreases from July by 8.5%. 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 August was 80 days, a decrease of 9.1% from 88 days in August 2018 and an increase of 15.9% from 69 days in July 2019.
Forecast: August sales were six units, or 6.5%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 93 sales for the month, and actual sales were 99 units. ACRE forecast a total of 655 residential sales in Marshall County year-to-date, while there were 629 actual sales through August.
ACRE’s statewide perspective: A strong late-summer buying season continued in August as total residential sales increased 7.5% year-over-year from 5,862 to 6,302 closed transactions. Year-to-date, sales are up 3.8% from 2018, a record year for residential sales. Home price appreciation in the state continued to climb as the median sales price in August increased 8.1% year-over-year, marking 22 consecutive months of gains. The statewide median sales price is up 4.7% year-to-date. While nationwide inventory levels (active listings) decreased 2.6% year-over-year, Alabama’s residential listings continue to tighten, decreasing 12.6% 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 not surprising to see homes selling at a slightly quicker pace than one year ago. Homes selling in Alabama during August spent an average of 86 days on the market, a decrease of nine days from August 2018.
NAR’s national perspective: After a 3.3% gain in July, existing home sales decreased 0.9% year-over-year in August from approximately 539,000 closed transactions one year ago to 534,000 currently. The nationwide median existing-home price increased 4.7% in August, marking 90 consecutive months of year-over-year gains. Lawrence Yun, chief economist for the National Association of Realtors, said, “As expected, buyers are finding it hard to resist the current (mortgage) rates. The desire to take advantage of these promising conditions is leading more buyers to the market.” He continued, “Sales are up, but inventory numbers remain low and are thereby pushing up home prices. Homebuilders need to ramp up new housing, as the failure to increase construction will put home prices in danger of increasing at a faster pace than income.”