Alabama home sales up again in July 2020
Sales: According to the Alabama Association of Realtors, July home sales in the state increased 22.3% year-over-year from 6,307 to 7,714 closed transactions. Sales increased 7.2% from June, and are now up 6.7% year-to-date. As the COVID-19 pandemic continues to unfold, however, declining sales activity remains a possibility in the months ahead. Two more resources to review: Quarterly Report and Annual Report.
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Inventory: Homes listed for sale decreased 27.9% from 21,865 listings one year ago to 15,772 in July. Months of supply dropped from 3.5 to 2.0, reflecting a market where sellers generally have elevated bargaining power.
Pricing: The statewide median sales price in July was $197,727, an increase of 11.2% from one year ago and an increase of 1.4% from June. 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 July averaged 82 days on the market (DOM), 8 days faster than one year ago.
Forecast: July sales were 1,362 units or 21.4% above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 6,353 sales for the month, while actual sales were 7,714 units. ACRE forecast a total of 38,893 residential sales year-to-date, while there were 39,981 actual sales through July, a difference of 2.8%.
New Construction: The 1,047 new homes sold represent 13.6% of all residential sales in the area in July. Total sales increased 30.9% year-over-year, extending the area’s streak of Y/Y gains in new home sales to 13 consecutive months. The median sales price in July was $249,928, an increase of 0.3% from June and an increase of 5.2% from one year ago.
Click here to view the entire monthly report.
The Alabama Residential Monthly Report is developed in connection with the Alabama Association of Realtors.
Editor's Note: All information in this article reflects data provided to the Alabama Center for Real Estate for the time period July 1 - 31, 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.