Huntsville/North Alabama Area MLS Observations: Real Estate Market December 2012
Full year unit sales were 9,176 up 6% from last year’s 8,624 and 1% favorable to our beginning year projection of 9050. Total Dollars sales were up 8% to $1,496,095,829 from $1,383,326,336 last year.
December sales declined by 4% to $116,069,280 vs. November at $121,522,339. This was 5% above last year’s $110,904,366 The twelve month moving average line on the total dollar sales chart is heading up.
Total unit sales declined 8% to 662 in December vs. 720 in November, a decrease of 58. This was 5% lower than last year at 698.
Note that our projection for December was 651 in sales, so the actual results were 2% 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 improved to 157 this month vs. 147 last month, up 10.
Used sales decreased to 505 this month vs. 573 last month, down 68 (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 10 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 November there were 64, down from 97 in October(chart on the web site).
Total Active listings decreased this month to 7,906 compared to last month’s 8,684, and below last year at this time at 8,365, 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 fairly constant over the last few months, stopping the decline.
Active New listings decreased from 1,423 last month to 1,311 in December, down 112. (Sect E p.3). Active Used listings decreased from 7,261 last month to 6,595 this month, down 666 and slightly below last year’s amount at this time of 6,963. (Sect E p.3).
Average Days on Market for Sold New homes was 150 vs. 153 days last month, with Used at 160 in December compared with 152 in November (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 $258,141 vs. $244,308 last month. (Sect A p.2)
Average sales price for Sold Used homes was $149,586 vs. $149,405 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.