Sales: According to the Southeast Alabama Multiple Listing Service Inc., Dothan-area residential sales totaled 160 units during September, up 25% from 128 sales in the same month a year earlier. September sales were up 19 units compared to 141 sales in August. Results were 46.3% above the five-year September average of 109 sales. Another resource to review is the Annual Report.

For all of Dothan’s area real estate data, click here.

Inventory: Homes listed for sale in the Dothan area during September totaled 807 units, a decrease of 21.5% from September 2018’s 1,028 units and an increase of 10.2% from August 2019’s 732 units. September months of supply totaled 5 months, a decrease of 37.2% from September 2018’s 8 months of supply. September months of supply decreased 2.8% from August’s 5.2 months of supply.

Pricing: The Dothan median sales price in September was $165,000, an increase of 5.5% from one year ago and an increase of 0.6% from the prior month. This direction is inconsistent with historical data (2014-18) indicating that the September median sales price on average decreases from August by 5.3%. The differing sample size (number of residential sales of comparative months) can contribute to statistical volatility, including pricing. ACRE highly recommends consulting with a local real estate professional to discuss pricing trends, as they will vary from neighborhood to neighborhood. The homes selling in September spent an average of 129 days on the market (DOM), up 6.6% from 121 days in September 2018 and up 20.6% from 107 days in August.

Forecast: September sales were 33 units, or 26%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 127 sales for the month, while actual sales were 160 units. ACRE forecast a total of 1,160 total transactions in Dothan year-to-date, while there were 1,296 actual sales through September.

ACRE’s statewide perspective: Residential sales growth continued in September as total residential sales increased 8.7% year-over-year from 5,069 to 5,510 closed transactions. Year-to-date, sales are up 4.3% from 2018, a record year for residential sales. Home price appreciation in the state continued to climb as the median sales price in September increased 7% year-over-year, marking 23 consecutive months of gains. The statewide median sales price is up 4.3% year-to-date. While nationwide inventory levels (active listings) decreased 2.7% year-over-year, Alabama’s residential listings continue to tighten, decreasing 9.7% from one year ago. Low inventory levels were a significant factor contributing to rising sales prices throughout 2018 and continued into the third quarter 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 September spent an average of 82 days on the market, a decrease of eight days from September 2018.

NAR’s national perspective: Existing home sales rebounded in September, increasing 7.4% year-over-year from approximately 421,000 closed transactions one year ago to 452,000 currently. The nationwide median existing-home price increased 5.9% in September, marking 91 consecutive months of year-over-year gains. John Smamby, president of the National Association of Realtors, said, “For families on the sidelines thinking about buying a home, current rates are making the climate extremely favorable in markets across the country. These traditionally low rates make it that much easier to qualify for a mortgage, and they also open up various housing selections to buyers everywhere.”

Click here to view the entire monthly report.

The Southeast Alabama Residential Monthly Report was developed in conjunction with the Southeast Alabama Association of Realtors to better serve area consumers.