Sales: According to the Multiple Listing Service of the Shoals Area Association of Realtors, Shoals-area home sales totaled 192 units during September, up 16.4% from 165 sales in the same month a year earlier. September home sales were down 7.7% from August 2019’s 208 units. Results were 28.7% above the five-year September average of 149 sales. Two more resources to review: Quarterly Report and Annual Report.
For all Shoals-area housing data, click here.
Inventory: Homes listed for sale in the Shoals area during September totaled 749 units, a decrease of 15.7% from September 2018’s 889 units. Shoals-area inventory experienced a 6.8% decrease from 804 units in August 2019. The area also experienced a year-over-year decline in months of supply. September months of supply totaled 3.9 months, a decrease of 27.6% from September 2018’s 5.4 months. September months of supply increased 0.9% from August’s months of supply.
Pricing: The Shoals-area median sales price in September was $174,500, an increase of 16.7% from one year ago and an increase of 25.8% from the prior month. 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 88 days on the market (DOM), up 20.5% from 73 days in September 2018 and up 33.3% from 66 days in August 2019.
Forecast: September sales were 33 units, or 20.8 percent, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 159 sales for the month, while actual sales were 192 units. ACRE forecast a total of 1,418 residential sales in the Shoals area year-to-date, while there were 1,580 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 Shoals Area Residential Monthly Report is developed in conjunction with the Shoals Area Association of Realtors to better serve its area consumers.