Area home sales still in downward spiral-The Birmingham News

The Birmingham News cited us in an article by William Thorton on April 22, 2008. While the overall tone of the article was negative, focusing on the year over year decline in sales, in the Birmingham, Alabama Real Estate market.

I have begun to focus on the month to month action, which is returning to “normal” but admittedly off a much lower base level of sales. Even so this improvement that we are seeing in Birmingham, Alabama is in some contrast with the more distressed areas of the country which continue to report lower sequential monthly sales. Quoting from the article:

At the same time, the market flashed some signals last month it may be righting itself.

Tom Brander, author of the Rudulph-Brander Monthly Birmingham Area Real Estate Report, which tracks home sales, said he believes the March figures indicate signs of a “bottom” that has been brewing for the past two months. But, he conceded, don’t expect a recovery anytime soon.

“My view is that we have gotten back to reasonably normal month-to-month fluctuations,” he said. “I don’t see us getting back to the big sales of previous years because that was largely speculatively driven. We’re going to need a couple of years to fix this problem.”

Brander’s report showed that area new home sales improved to 325 in March from 284 in February. Plus, the number of days an area home that sold in March spent on the market declined to 104 days from 111 days last year. Most important, sales prices held up last month.

Brander said figures for the next few months should give an even better picture of the market, though he doesn’t expect a serious uptick.

“If you’re buying, there’s an excess of choice,” he said. “If you’re selling, there’s an excess of competition.”

The full printable text is here.


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