Lee County home sales up 20% in October from one year ago

Lee County home sales up 20% in October from one year ago
The Lee County median home sales price in October was $260,069, an increase of 14.6% from the same month in 2018. (iStock)

Sales: According to the Lee County Association of Realtors Multiple Listing Service, Lee County home sales totaled 157 units during October, up 19.8% from 131 sales in the same month a year earlier. October sales were down 4.3% compared to 164 sales in September. Results were 41.2% above the five-year October average of 111 sales. Two more resources to review: Quarterly Report and Annual Report

For all Lee County housing data, click here.

Inventory: Homes listed for sale in the Lee County area during October totaled 610 units, an increase of 9.5% from October 2018’s 557 units and a decrease of 3.6% from September’s 633 units. October months of supply totaled 3.9 months, a decrease of 8.6% from October 2018’s months of supply. October’s months of supply was equal to September’s 3.9 months of supply.

Pricing: The Lee County median sales price in October was $260,069, an increase of 14.6% from one year ago and an increase of 5.6% from the prior month. This direction is inconsistent with historical data (2014-18) indicating that the October median sales price on average decreases from September by 2.8%. 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 October spent an average of 84 days on the market (DOM), an increase of 55.6% from 54 days in October 2018 and an increase of 18.3% from 71 days in September.

Forecast: October sales were 21 units, or 15.4%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 136 sales for the month, while actual sales were 157 units. ACRE forecast a total of 1,843 residential sales in the Lee County area year-to-date, while there were 1,799 actual sales through October.

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 Lee County Residential Monthly Report is developed in conjunction with the Lee County Association of Realtors to better serve its area consumers.

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