Top 5 Most Improved Markets - May 2019
The Alabama Center for Real Estate created the following rankings based on year-over-year (y/y) growth in total residential sales during May.
1. Lake Martin Area 38.7%
2. Cullman Area 25%
3. Phenix City Area 17.8%
4. Wiregrass Region 15.3%
5. Baldwin County 10.2%
United States 0.9%
Lake Martin Area: Lake Martin residential real estate saw an increase of 38.7% in total sales year-over-year (y/y) from 62 closed transactions in May 2018 to 86 in May 2019. Lake Martin’s May median sales price decreased 26.6% y/y, dropping from $325,000 to $238,500. Additionally, median sales price in the area is down 14.3% year-to-date. Dollar volume increased 7.8% y/y, seeing gains from $25.8 million to $27.9 million. Inventory went against the statewide trend, increasing 29.7 percent from 441 to 572 total listings. The average number of days on market increased from 126 to 144, a 14.3% increase, which also goes against the statewide trend of 29 consecutive months of declining days on market.
Cullman Area: Cullman residential sales for the month of May totaled 95 units, representing an increase of 19 transactions or 25% compared to the 76 units that were sold in the same month last year. Cullman area median sales price increased 19% y/y, improving from $139,500 to $166,000. Dollar volume increased 33.3%, seeing gains from $12.7 million to $17 million. Similar to statewide trends, the Cullman area saw a 5.1% decrease in inventory. The average number of days on the market (DOM) also mirrored statewide trends as it decreased 5.3% y/y from the 113 days on market last year.
Phenix City: According to the East Alabama Board of Realtors, the Phenix City area’s total residential sales increased 17.8% year-over-year (y/y) from 107 to 126 closed transactions. The May median sales price increased 12.3% y/y from $158,000 to $177,400, and increased 11.9% from last month. Dollar volume also increased 31.2% from $16.9 million one year ago to $22.1 million in May, extending the area’s streak of year-over-year dollar volume gains to 11 months. Mirroring statewide trends, inventory decreased 16.2% from 475 residential listings one year ago to 398 in May. The average days on market (DOM) stayed the same as one year ago at 96 days. Lastly, months of supply decreased 28.9% from 4.4 to 3.2, suggesting a seller’s market in the area.
Wiregrass Region: Wiregrass residential sales for the current month totaled 128 units, representing an increase of 15.3% y/y when compared to 111 units that were sold one year ago. The area’s median sales price decreased 0.7% y/y from $147,000 to $146,000, and increased 2.6% from April. Wiregrass region real estate saw a 13.1% increase in dollar volume, rising from $18.2 million to $20.6 million. Matching statewide trends, Wiregrass residential units available for sale this month decreased 291 units or 34.6% to 540 total homes listed for sale. The average number of days on the market (DOM) saw a 12.9% increase from 93 to 105 days. Mirroring statewide trends as well months of supply y/y decreased 43.2% from 7.6 months to 4.3 months.
Baldwin County: Baldwin County total residential sales during the current month totaled 732 units, representing an increase of 10.2% from one year ago. The May median sales price in Baldwin County increased 6.3% y/y from 239,500 to 254,500. Dollar volume also increased 21.2% from $193.3 million to $234.3 million in May. Going against statewide trends Baldwin County Inventory increased 1.2% from the prior year. The average number of days on market decreased 14.3% y/y and 13.3% from April. Lastly, matching statewide trends, months of supply y/y decreased 8.2% from 4.4 to 4.1 months.
CCIM 4Q19/1Q20 CRE Insights Report