Birmingham-area home sales continue to rise year-over-year in October

Sales: According to the Greater Alabama MLS, October home sales in the Birmingham area increased 30.2% year-over-year from 1,282 to 1,669 closed transactions. Residential sales in the area are now up 5.7% year-to-date. Two more resources to review: Quarterly Report and Annual Report.

For all Birmingham-area housing data, click here.

Inventory: Homes listed for sale decreased 15.8% year-over-year from 5,111 listings one year ago to 4,304 in October. Months of supply (inventory to sales ratio) decreased from 4 months to 2.6, reflecting a market where sellers generally have elevated bargaining power.

Pricing: The median sales price in October was $245,000, an increase of 16.7% from one year ago and a decrease of 3.9% from September. 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 October averaged 28 days on the market (DOM), selling eight days faster than in October 2019.

Forecast: October sales were 404 units, or 31.9%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 1,265 sales for the month, while actual sales were 1,669 units. ACRE forecast a total of 14,152 residential sales year-to-date, while there were 14,643 actual sales through October, a difference of 3.5%.

New construction: The 176 new homes sold represent 10.5% of all residential sales in the Birmingham area in October. Total sales increased 2.9% year-over-year. The median sales price in October was $304,385, a decrease of 1.4% from September and an increase of 2.7% from one year ago.

Click here to view the entire monthly report.

The Birmingham Area Residential Monthly Report is developed in connection with the Birmingham Association of Realtors.

Editor’s note: All information in this article reflects data provided to the Alabama Center for Real Estate for Oct. 1-31. 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.

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