Click here to view or print the entire September report compliments of the ACRE Corporate Cabinet.

Sales: Lake Martin Area* residential sales totaled 51 units in September, an decrease in sales growth of 3.8 percent from the same period last year. Year-to-date sales through September are up 31 percent above 2014. Two more resources to review market: Quarterly Report and Annual Report

Forecast: September sales were 4 percent or two units above of our monthly forecast. Alabama Center for Real Estate’s (ACRE) year-to-date sales forecast through September projected 391 closed transactions while the actual sales were 483 units, a rise of 23.5 percent.

Lake Martin residential sales dipped but only sightly from last September from 53 to 51 units. Sales were down by 10 units compared to the prior month.

Supply: The Lake Martin Area housing inventory in September was 479 units, a decrease of 15.5 percent from September 2014 and 40 percent below (this is good news) the month of September peak in 2008 (801 units). In addition, September inventory decreased by 3.8 percent from the prior month. This direction is right in line with historical data indicating that September inventory on average (2010-14) decreases from the month of August by 7.1 percent. There were 9.4 months of housing supply in September (6.0+/- months considered equilibrium in September NSA), a favorable decrease of 12.2 percent from last September 10.7 months of supply.

Demand:  Residential sales slipped 16.4 percent from the prior month. This direction is consistent with seasonal patterns and historical data indicating September sales on average (2010-14) decrease by 18.9 percent from the month of August.

Pricing: The Lake Martin Area median sales price in September was $330,000, an increase of 77.4 percent from September 2014 and a 13.8 percent increase compared to the prior month. Historical data indicates that the September median sales price (2010-14) typically decreases 13.6 percent from the month of August. Pricing can and will fluctuate from month-to-month due to changing composition of actual sales (lakefront vs non-lakefront) and the sample size of data (closed transactions) being subject to seasonal buying patterns. A broader lens as to pricing trends is appropriate and we highly recommend contacting a local real estate professional for additional market pricing information.

Industry Perspective: “Our forecast for the year is largely unchanged despite recent market volatility. Fundamentals are positive, suggesting potential for some improvement in the fourth quarter,” said Fannie Mae Chief Economist Doug Duncan. “While core personal consumption expenditures experienced their weakest gain in more than four years in July, real consumer spending rebounded during the month and August auto sales were stronger than they have been in a decade. Consumers may get an added boost during the year from subdued inflation given the stronger dollar and low oil prices. Overall, we anticipate economic growth of 2.4 percent for 2015, up slightly from 2.1 percent in the prior forecast. Consumer and government spending as well as nonresidential and residential investment are expected to contribute to growth while net exports and inventory investment will likely pose headwinds.” For full report click HERE.

The average sales price in Lake Martin is still well below the 2008 peak of $553,000, but up 50 percent from last year.

The average days on the market has remained flat over the last three years, increasing to 171 days in September.

Total inventory has also remained flat during the month of September in Lake Martin, well below the 2008 peak of 801 units.

Median sales price shot up 77 percent from last September and 14 percent from the month of August.

Months of supply continues to decline favorably in Lake Martin but still shy of the market of equilibrium of 6.0. Last month it was 9.4.

Sales decreased by 16 percent from the prior month in Lake Martin during September.

Sales totals have been up and down in September over the past five years, dipping 4 percent from September 2014.

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Bryan Davis is the research/media coordinator for the Alabama Center for Real Estate housed within the Culverhouse College of Commerce at the University of Alabama. He can be reached at 205-348-5416 or at bkdavis@culverhouse.ua.edu.

The Lake Martin Residential Monthly Report is work product developed in conjunction with the Lake Martin Area Association of Realtors to better serve area consumers. The ACRE monthly report is provided to illustrate the “general” market direction & trends when comparing prior periods with the most current residential data available. Real estate is local and statistics will fluctuate between areas including lakefront and non-lakefront dwellings. ACRE recommends that you consult a local real estate professional for “specific” advice associated with your market. Lake Martin Area Association of Realtors® is your premier source for real estate on Lake Martin, Alabama. Lake Martin is located in east central Alabama about 40 miles northeast of Montgomery and approximately 115 miles southwest of Atlanta. This Alabama Power Company reservoir encompasses 44,000 acres and has more than 700 miles of shoreline. The Alabama Center for Real Estate‘s core purpose is to advance the real estate industry in Alabama by providing relevant resources in the areas of research, education and outreach.