Huntsville/North Alabama Area MLS Observations: Real Estate Market October 2013
October sales declined by 11% to $126,349,004 vs. September at $142,710,174. This was off 2% from last year’s $128,656,905. The twelve month moving average line on the total dollar sales chart is heading up. This month’s results were in-line with expectations (within 3%).
Total unit sales declined 5% to 787 in October vs. 831 in September, a decrease of 145. This was 1% lower than last year at 794.
Our projections for ACRE and Brander Real Estate for 2013 called for 812 sales in October with actual results 3% under that, and year to date volume is 1% 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 increased to 143 this month vs. 142 last month, up 1.
Used sales decreased to 644 this month vs. 689 last month, off 45 (Sect E p.3).
In-spite of increased sales, inventory levels remain stubbornly high. Used inventory levels remain high this month at 11 months (see the chart Sect C p.1), with the situation continuing to be particularly challenged in the higher price ranges. Used homes over $400,000 have more than two years of inventory. Looking at the overall absorption chart (Sect C p1) it appears that used home inventories (in units) are approaching the historical highs, although the months of inventory is not quite as concerning due to the increased sales level.
New home absorption is 9 months of inventory overall, 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!).
August housing permits issued were 109 compared with 113 in July (chart on the web site).
Total Active listings decreased this month to 8,799 compared to last month’s 9,457, and above last year at this time at 8,788, with the reduction in the current month exaggerated due to month-end expirations. (Sect A p.4 and Sect E p.3).
Active New listings decreased to 1,326 this month from 1,526 in September, down 200. (Sect E p.3). Active Used listings decreased to 7,473 this month from 7,931 in September, down 458 and slightly above last year’s amount at this time of 7,464. (Sect E p.3).
Average Days on Market for Sold New homes was 155 vs. 141 days last month, with Used at 155 in October compared with 156 in September (Sect A p.18).
Average sales price for Sold New homes was $254,401 vs. $246,916 last month. (Sect A p.2)
Average sales price for Sold Used homes was $139,704 vs. $156,238 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.