Huntsville/North Alabama Area MLS Observations: Real Estate Market July 2013
July sales improved by 1% to $166,655,993 vs. June at $164,576,927. This was up 19% from last year’s $140,491,528. The twelve month moving average line on the total dollar sales chart is heading up. It is good to see robust sales in the beginning of the slower late summer season.
Total unit sales declined 2% to 939 in July vs. 961 in June, a decrease of 22. This was 14% better than last year at 824. (it is worth noting that we had a larger number of past month’s reported sales than usual, resulting in changes in historical adjustments).
Our projections for ACRE and Brander Real Estate for 2013 called for 960 sales in July with actual results 2% under that, and year to date volume is 2% lower than our projection. See here http://goo.gl/nytW8 for an article sumarizing the projections. Here is the spreadsheet with month by month projections by area http://goo.gl/GEYWa (see the tabs on the bottom).
New sales decreased to 164 this month vs. 165 last month, down 1.
Used sales decreased to 775 this month vs. 795 last month, off 20 (Sect E p.3).
In-spite of increased sales, inventory levels remain stubbornly high. 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 $400,000 have more than two years of inventory.
New home absorption is 8 months of inventory overall with last month at 11 months, and this has been climbing)(E-1). The New Home inventory level in the $300,000-$500,000 is approximately 5-6 months. (Not bad!).
There continue to be a large number of housing permits issued in Huntsville city given the market conditions. For June there were 98, down from 113 in May (chart on the web site).
Total Active listings decreased this month to 8,996 compared to last month’s 9,736, and below last year at this time at 9,053, with the reduction exaggerated due to month-end expirations. (Sect A p.4 and Sect E p.3). The reduction in inventory is a positive thing, although as mentioned above, not as constructive as we might prefer. The inventory reduction has been good for the last 10 months; we are however seeing signs of a seasonal increase.
Active New listings decreased from 1,592 last month to 1,235 in July, down 357. (Sect E p.3). Active Used listings decreased from 8,144 last month to 7,761 this month, down 383 and slightly below last year’s amount at this time of 7,768. (Sect E p.3).
Average Days on Market for Sold New homes was 162 vs. 148 days last month, with Used at 141 in July compared with 145 in June (Sect A p.18).
Average sales price for Sold New homes was $243,464 vs. $239,156 last month. (Sect A p.2)
Average sales price for Sold Used homes was $163,520 vs. $157,181 last month. (Sect A p.2)
The average price line for Used homes is going up. New home average prices seems to be showing positive direction as well.