Sales: According to the Baldwin Realtors, June residential sales for Baldwin County increased 31.4% year-over-year from 672 to 883 closed transactions. Following seasonal trends but to a greater degree, sales increased 60.8% from May. Total residential sales in the area are up 3% year-to-date. Two more resources to view: Quarterly Report and Annual Report.

For all of Baldwin County’s housing data, click here.

Inventory: Total homes listed for sale in June declined 22.5% year-over-year from 2,899 to 2,248 listings. Months of supply (inventory to sales ratio) decreased from 4.3 months to 2.5, reflecting a market where sellers generally have elevated bargaining power.

Pricing: The Baldwin County median sales price in June was $252,853, a decrease of 2.5% from one year ago and an increase of 2.5% from May. 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.

Homes sold in June averaged 82 days on the market (DOM), selling one day faster than in June 2019.

Forecast: June sales were 41 units, or 4.9%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 842 sales for the month, while actual sales were 883 units. ACRE forecast a total of 4,243 residential sales year-to-date, while there were 3,626 actual sales through June, a difference of 14.5%.

Click here to view the entire monthly report.

NAR commentary: According to the National Association of Realtors (NAR), existing home sales nationwide rebounded at a record pace in June (seasonally adjusted annual rate), suggesting signs of a turnaround after three months of declines. Sales prices continued to rise as the nationwide median sales price increased 3.5% year-over-year, extending the streak of Y/Y price gains to 100 consecutive months.

When addressing the turnaround in sales activity, Lawrence Yun, NAR chief economist, said, “The sales recovery is strong, as buyers were eager to purchase homes and properties that they had been eyeing during the shutdown. This revitalization looks to be sustainable for many months ahead as long as mortgage rates remain low and job gains continue.”

Yun also noted the impact of low inventory conditions, saying, “Home prices rose during the lockdown and could rise even further due to heavy buyer competition and a significant shortage of supply.”

ACRE commentary: Closed sales data from June shows that total residential sales increased 18.7% year-over-year, ending two consecutive months of declines. On the supply side, inventory (properties listed for sale) was tight before the pandemic and continues to be constrained as listings declined 24.7% Y/Y. Limited inventory has played a significant role in supporting sales prices, which continue to trend upward. The median sales price of $193,977 reflects an increase of 7.1% from one year ago and 4.8% from May. Pricing dynamics are driven by the law of supply and demand, always at work moving toward or away from market equilibrium (6 months of supply), at which buyer and seller have equal bargaining power. In June, months of supply was at 2.3.

The Baldwin County Residential Monthly Report is developed in conjunction with the Baldwin Realtors to better serve Gulf Coast consumers.

Editor’s Note: All information in this article reflects data provided to the Alabama Center for Real Estate for June 1-30, 2020. Thus, the performance represented is historical and should not be used as an indicator of future results, particularly considering the impact of COVID-19 on the housing market.