Baldwin County MLS* Observations for the month of July 2010: Real Estate Statistics for the Baldwin County, Alabama Coastal Areas:
Hopefully with the leak capped and there being no apparent major damage to the beaches, life will begin to return to normal, whatever that means. July, however, was a difficult month.
July sales dropped from June. Again this month this was the lowest corresponding month sales level on record. For the several months prior to the spill, the sales statistics had been showing signs of a bottom, and even some signs of recovery. July sales dropped 9% to $57,563,237 from June’s $62,930,836. This is 23% below July last year at $74,835,416 (Sect A p.2). As a result, the 12 month moving average line of sales is once again trending down. The sales results varied widely by area with the most coastal areas being hit quite hard.
Our chart in Section A p.18, shows the historical trends for absolute units of inventory and months of inventory for New and Used units. This chart continues to show flattening of inventory, which while still high, have recently leveled out.
The 12 month moving average line of unit sales for Used homes had a pronounced upward slope through two months ago. But with the spill, it now shows a downward trend due to the size and counter cyclical nature of the sales drop. On a unit basis, sales of all houses declined to 307 vs. 364 last month, which is considerably worse than last year’s 355.
Used house unit sales were down at 275 from 321 last month. New home unit sales deteriorated to 24 from 31 last month (Sect A p.18). The low number of sales of new homes reflects the intense competition from existing, and an extended slowdown of new construction.
New listings for New homes decreased to 42 in July from 53 in June, about double the number of sales. Used houses New listings decreased to 598 this month from 774 in June.
The absolute number of Used Active homes on the market, which had a slight peak mid-summer of ‘09, has once again started to level out, or even decline slightly. In July, there were 5,059 Active Used homes, a 9% reduction from 5,543 in June. The New home market which peaked in July 2006 at 2,144 Active, now sits at 396.
The Absorption rate for New homes was 12 months of inventory for July vs. 13 in June. The Absorption rate for Used houses was 18 months of inventory for July vs. 19 in June. (Sect A p.17).
Average sales price for New units decreased to $180,809 from $185,933 last month. Life is still very difficult for those trying to sell higher priced homes, and inventory continues to climb. (Sect A p.14). Average Used home prices increased to $212,047 from $197,127 in June.
Average Days On Market for New Sold properties in July were 229 this month vs. 158 last month. Days On Market for Used was 162 this month vs. 153 last month.