Huntsville/North Alabama Area MLS Observations: Real Estate Market November 2012
November sales declined by 7% to $119,770,552 vs. October at $128,770,552. This was 15% above last year’s $104,331,518. The twelve month moving average line on the total dollar sales chart is heading up.
Total unit sales declined 5% to 710 in November vs. 793 in October, a decrease of 40. This was 6% favorable to last year at 670.
Note that our projection for November was 672 sales, so the actual results were 6% favorable for the month and 1% 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 declined to 142 this month vs. 151 last month, decreasing 9.
Used sales decreased to 568 this month vs. 642 last month, down 74 (Sect E p.3).
Used inventory levels remain high this month at 11 months (see the chart Sect C p.1), with the situation particularly challenged in the higher price ranges. Used homes over $200,000 are still over 12 months of inventory and over $500,000 have more than two 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 6 months. (Not bad!).
There continue to be a large number of housing permits issued in Huntsville city given the market conditions. For October there were 97 (census estimate), down from 99 in September(chart on the web site).
Total Active listings decreased this month to 8,074 compared to last month’s 9,039, which is below last year at this time at 8,915, 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. But we must note that the inventory level has remained constant over the last few months, stopping the decline.
Active New listings decreased from 1,502 last month to 1,202 in November, down 300. (Sect E p.3). Active Used listings decreased from 7,537 last month to 6,872 this month, down 665 and slightly below last year’s amount at this time of 7,562. (Sect E p.3).
Average Days on Market for Sold New homes was 153 vs. 166 days last month, with Used at 152 in November compared with 151 in October (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 $243,408 vs. $252,636 last month. (Sect A p.2)
Average sales price for Sold Used homes was $150,012 vs. $140,894 last month. (Sect A p.2)
The average price line for Used homes is once again showing some stability. New home average price seems to be showing some positive direction. Prices for individual properties remain under pressure.