Sales: According to the Lake Martin Area Association of Realtors, waterfront-area residential sales totaled 41 units during September, up 41.4% from 29 sales in the same month a year earlier. Results were up 7.9% from the previous month, with 38 units sold in August 2019, and 22.8% above the five-year average of 33 closed transactions.
For all waterfront-area home sales data, click here.
Inventory: Homes listed for sale in the waterfront area during September totaled 244 units, a decrease of 14.1% from September 2018’s 284 units and a decrease of 9.6% from August 2019’s 270 units.
Pricing: The Lake Martin waterfront median sales price in September was $490,000, an increase of 22.5% from one year ago and a decrease of 13.7% from the prior month. This direction is inconsistent with historical data (2014-18) indicating that the September median sales price on average increases from August by 5.1%. 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. The average number of days spent on the market (DOM) by waterfront homes that sold during September was 177 days, an increase of 34.1% from 132 days in September 2018 and an increase of 14.2% from 155 days in August 2019.
Forecast: September sales were 10 units, or 32.3%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 31 sales for the month and actual sales were 41 units. ACRE forecast a total of 236 residential sales in the waterfront area year-to-date in 2019, while there were 293 actual sales in 2019 so far.
ACRE’s statewide perspective: Residential sales growth continued in September as total residential sales increased 8.7% year-over-year from 5,069 to 5,510 closed transactions. Year-to-date, sales are up 4.3% from 2018, a record year for residential sales. Home price appreciation in the state continued to climb as the median sales price in September increased 7% year-over-year, marking 23 consecutive months of gains. The statewide median sales price is up 4.3% year-to-date. While nationwide inventory levels (active listings) decreased 2.7% year-over-year, Alabama’s residential listings continue to tighten, decreasing 9.7% from one year ago. Low inventory levels were a significant factor contributing to rising sales prices throughout 2018 and continued into the third quarter of 2019. With low inventory levels, it is not surprising to see homes selling at a slightly quicker pace than one year ago. Homes selling in Alabama during September spent an average of 82 days on the market, a decrease of eight days from September 2018.
NAR’s national perspective: Existing home sales rebounded in September, increasing 7.4% year-over-year from approximately 421,000 closed transactions one year ago to 452,000 currently. The nationwide median existing-home price increased 5.9% in September, marking 91 consecutive months of year-over-year gains. John Smamby, president of the National Association of Realtors, said, “For families on the sidelines thinking about buying a home, current rates are making the climate extremely favorable in markets across the country. These traditionally low rates make it that much easier to qualify for a mortgage, and they also open up various housing selections to buyers everywhere.”
Click here to view the entire monthly report.
The Lake Martin Waterfront Residential Monthly Report is developed in conjunction with the Lake Martin Area Association of Realtors to better serve area consumers.