Huntsville/North Alabama Area MLS Observations: Real Estate Market May 2012
May sales improved 6% to $139,884,623 vs. April at $131,943,583 This was 8% above last year’s $129,728,703. The twelve month moving average line on the total dollar sales chart has a small hook up at the end.
Total unit sales increased 4% to 857 in May vs. 825 in April, an increase of 32. This was 4% favorable to last year at 826.
Note that our projection for May was 852, so the actual results were 0.4% favorable for the month and 1.3% favorable year to date. (Full spreadsheets and projections (a joint project between ACRE and Brander Real Estate) are available at http://goo.gl/WFHrO) .
New sales were even with 132 this month vs.132 last month.
Used sales increased to 725 this month vs. 693 last month, increasing 32 (Sect E p.3).
Used inventory levels remain high this month at 12 months (see the chart Sect C p.1), with the situation particularly challenged in the higher price ranges. Used homes over $100,000 are still over 12 months of inventory and over $500,000 have about two or more years of inventory.
New home absorption is 8 months of inventory overall, (with last month at 10 months) (E-1). The New Home inventory level in the $300,000-$400,000 is approximately 5 months (not bad).
There continue to be a large number of housing permits issued in Huntsville city given the market conditions. For April there were 104 (est. by census dept.), up from 83 in March (chart on the web site).
Total Active listings decreased this month to 8,598 compared to last month’s 9,145, which is below last year at this time at 9,597, with the reduction exaggerated due to month-end expirations.
(Sect A p.4 and Sect E p.3). The reduction in inventory is a good thing.
Active New listings decreased from 1,430 last month to 1,231 in May, down 199. (Sect E p.3). Active Used listings decreased from 7,715 last month to 7,367 this month, down 348 and below last year’s amount at this time of 8,190. (Sect E p.3).
Average Days on Market for Sold New homes was 170 vs.197 days last month, with Used at 162 in May compared with 149 in April (Sect A p.18). Sellers, including bank owners, who do not adjust to the new price reality contribute to the buildup of inventory.
Average sales price for Sold New homes was $226,837 vs. $237,638 last month. (Sect A p.2)
Average sales price for Sold Used homes was $151,644 vs. $145,130 last month. (Sect A p.2)
The average price lines for Used homes, is once again showing some stability. New homes average price seems to be showing some positive direction. Prices for individual properties remain under pressure.