Wiregrass-area median sales price up 7 percent from one year ago

Wiregrass-area median sales price up 7 percent from one year ago
The Wiregrass-area median home sales price in April was $142,250. (iStock)

Sales: According to the Multiple Listing Service of the Wiregrass Board of Realtors, Wiregrass-area home sales totaled 102 units during April, down 2.9 percent from 105 sales in the same month a year earlier. April sales decreased 5.6 percent compared to 108 sales in March. Results were 38.2 percent above the five-year April average of 74 sales. Other resources to review are the Quarterly Report and Annual Report.

For all Wiregrass-area housing data, click here.

Inventory: Homes listed for sale in the Wiregrass area during April averaged 545 units, a decrease of 34.3 percent from April 2018’s 829 units and a decrease of 1.4 percent from March 2019’s 553 units. April months of supply totaled 5.3 months, a decrease of 32.3 percent from 7.9 months in April 2018. April’s months of supply increased 4.4 percent from March’s 5.1 months of supply.

Pricing: The Wiregrass-area median sales price in April was $142,250, an increase of 7.4 percent from one year ago and an increase of 10.7 percent from the prior month. The differing sample size (number of residential sales of comparative months) can contribute to statistical volatility, including pricing. ACRE highly recommends consulting with a local real estate professional to discuss pricing trends, as they will vary from neighborhood to neighborhood. The homes selling in April spent an average of 102 days on the market (DOM), a decrease of 27.1 percent from 140 days in April 2018 and a decrease of 14.3 percent from 119 days in March.

Forecast: April sales were 14 units, or 15.9 percent, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 88 sales for the month, while actual sales were 102 units. ACRE forecast a total of 322 residential sales in the Wiregrass area year-to-date, while there were 337 actual sales through April.

ACRE’s statewide perspective: While nationwide residential sales dropped 1 percent in April, demand for housing in Alabama remained strong. Statewide residential sales increased 4.4 percent from 5,574 closed transactions in April 2018 to 5,820 in April 2019. Year-to-date, sales increased 3.8 percent from 2018. Home price appreciation in the state continued to climb as the median sales price in April increased 3.2 percent year-over-year from $155,250 to $160,283. The statewide median sales price is also up 3.2 percent year-to-date. Although nationwide inventory levels are trending upward, Alabama’s residential listings decreased 10.7 percent from one year ago. Low inventory levels were a significant factor contributing to rising sales prices throughout 2018 and in the spring buying season of 2019. With low inventory levels, it is not surprising to see homes selling more quickly than in previous years. Homes selling in Alabama during April spent an average of 93 days on the market, an improvement of three days from April 2018.

NAR’s national perspective: During April, total existing-home sales nationwide declined 1.1 percent from approximately 460,000 closed transactions one year ago to 455,000 currently. The nationwide median existing-home price increased 3.6 percent in April, marking 86 consecutive months of year-over-year gains. Lawrence Yun, chief economist for the National Association of Realtors, said, “First, we are seeing historically low mortgage rates combined with a pent-up demand to buy, so buyers will look to take advantage of these conditions. Also, job creation is improving, causing wage growth to align with home price growth, which helps affordability and will help spur more home sales.”

 

 

 

 

 

 

 

 

 

 

 

 

 

Click here to view the entire monthly report.

The Wiregrass Residential Monthly Report is developed in conjunction with the Wiregrass Board of Realtors to better serve its area consumers.

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