Baldwin County November Real Estate Sales Drop 44% From October


Baldwin County MLS Observations for the month of November 2008: Real Estate statistics for the Baldwin County, Alabama coastal areas:

November dollar sales decreased 44% to $41,428,265 from $73,632,919 in October. (see page A-2).

November 2008 Baldwin County dollar sales (click for larger)

November 2008 Baldwin County dollar sales (click for larger)

The poor showing was exaggerated by the absence of the large amount of closings last month for the largely pre sold condo development, Phoenix West. There were a few more sales recorded for this complex this month and but for those the overall sales results for the area would have been even worse.

Our current records go back to 2002 and this was the worst November on record. There was notable sales activity in the Daphne/Montrose area for new homes in the $100,000-$300,000 price range.

A summary of sales activity by area for those areas with the most activity:

Area

Used Sold

New Sold

Total Sold

Daphne/Montrose

19

10

29

Fairhope/Pt. Clear

14

2

16

Gulf Shores S ICW

16

0

16

Mobile County

25

3

28

Orange Beach

16

6

22

Other areas

49

14

63

Total

139

35

174

On a unit basis, sales of all houses declined by 35% to 174 vs. 268 last month. Used houses declined by 26% to 139 vs. 187 last month. New house unit sales declined 57% to 35 from 81 last month. (Sect A P. 18).

The continued deterioration in the overall economic climate means that, we are looking at further deterioration in the local Real Estate markets.

New listings for new houses decreased in November to 56 from 82 in October. A somewhat positive sign is that the new listing rate seems to be declining. New listings are running much closer to the rate of sales of new houses, a better rate than in past months. (Chart Section C Page 1 And Table Sect A P18).

Used houses new listings decreased to 635 this month from 747 in October. Net active listings were down and are trending down for both new and used houses. (See below).

Average sales price for new units decreased to $323,874 from $413,658 last month with the big drop due to absence of the sales of the Phoenix properties. Seven of the used over $500,000 houses sold while this is about half the number last month, some high end bargain seekers are in the market. (See Page A-14). The average used house price decreased to $216,494 from $274,164 in October.

Interestingly, and encouraging, the absolute number of used houses active on the market has generally declined since peaking at 6,284 in June 2007, now at 5,230. The new house market peaked out in November 2006 at 2,145 active and now sits at 737. There were 5,230 used houses active in November, a slight decrease from a 5,422 in October. There were 737 new houses active in November, a decrease from 792 in October. The Absorption rate for new houses was 14.1 months of inventory for November vs. 14.6 in October. The Absorption rate for used houses was 22.8 months of inventory for November vs. 23.5 in October. (See Section A Page 17).

TWB 12/14/2008

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