Click here to view or print the entire monthly report compliments of the ACRE Corporate Cabinet.
Sales: According to the Gulf Coast Multiple Listing Service, Mobile-area residential sales totaled 265 units during February, a decrease of 4 percent (nine units) from the same month last year. Total 2016 home sales in February were 276. Two more resources to review: Quarterly Report and Annual Report.
For all of Mobile’s area housing data, click here.
Forecast: February sales were 40 units, or 13 percent, below the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE’s 2017 sales forecast through February projected 578 closed transactions, while the actual sales were 536 units.
Supply: The Mobile-area housing inventory in February was 1,880 units, a decrease of 14 percent from February 2016. Inventory has now declined 46 percent from the February peak (3,457 units) reached in 2010. There were 7.1 months of housing supply last month (6 months represents a balanced market for this time of year) vs. 7.9 months of supply in February 2016, a favorable decline of 10 percent.
Demand: February sales decreased 2.2 percent from January. This direction contrasts with historical data, which indicate February sales, on average (2012-16), increase from January by 4.3 percent.
Pricing: The Mobile-area median sales price in February was $129,000, up 11 percent from last February. The February median sales price increased by 1.6 percent when compared to January. Historical data indicate the February median sales prices increased 8 percent from the month of January from 2012 through 2016. Pricing can fluctuate from month to month as the sample size of data is subject to seasonal buying patterns. ACRE highly recommends consulting with a local real estate professional to discuss prices, which can vary from neighborhood to neighborhood.
Industry perspective: “We expect the housing expansion to continue, albeit at a more moderate pace than last year given continued pressure on affordability,” said Fannie Mae Chief Economist Doug Duncan. “Depressed inventory, particularly in the more affordable segments, will likely constrain sales and push home price gains that outpace income growth. A faster pace of monetary tightening, unless accompanied by a stronger increase in household income, also poses downside risk to housing.”
Click here to generate more graphs from the Mobile February Housing Report, including Total Sales, Average Sales Price, Days on the Market, Total Inventory and Months of Supply.
The Mobile Area Residential Monthly Report is developed in conjunction with the Mobile Area Association of Realtors to better serve Gulf Coast consumers.