Lake Martin area waterfront home sales in November hold steady
Waterfront residential sales totaled 17 for the month of November. Unchanged according to the Lake Martin Area Association of Realtors MLS report. Inventory of homes for sale on Lake Martin is low. For detailed information on the Lake Martin Real Estate market read the report from ACRE research.
Article by ACRE Research, December 21, 2019
Sales:
According to the Lake Martin Area Association of Realtors, waterfront-area residential sales totaled 17 units during November, unchanged from the same month a year earlier. Results were down 46.9% from the previous month, with 32 units sold in October 2019, and 3.4% below the five-year average of 18 closed transactions.
Inventory:
Homes listed for sale in the waterfront area during November totaled 204 units. A decrease of 9.7% from November 2018’s 226 units and a decrease of 7.7% from October 2019’s 221 units.
Pricing:
The Lake Martin waterfront median sales price in November was $360,000, a decrease of 33.9% from one year ago and a decrease of 22.4% from the prior month. This direction is inconsistent with historical data (2014-18) indicating that the November median sales price on average increases from October by 14.2%. The differing sample size (number of residential sales of comparative months) can contribute to statistical volatility, including pricing. ACRE recommends consulting with a local real estate professional to discuss pricing, as it will vary from neighborhood to neighborhood. The average number of days spent on the market (DOM) by waterfront homes that sold during November was 250 days. An increase of 78.6% from 140 days in November 2018 and an increase of 30.2% from 192 days in October 2019.
Forecast:
November sales were three units, or 21.4%, above the Alabama Center for Real Estate’s (ACRE) monthly forecast. ACRE projected 14 sales for the month and actual sales were 17 units. ACRE forecast a total of 272 residential sales in the waterfront area year-to-date in 2019, while there were 333 actual sales in 2019 so far.
ACRE’s statewide perspective:
Residential sales growth continued in November but at a slower pace, as total residential sales increased 0.8% year-over-year from 4,598 to 4,635 closed transactions. Year-to-date, sales are up 4.2% from 2018, a record year for residential sales. Home price appreciation in the state continued to climb as the median sales price in November increased 9.3% year-over-year, marking 25 consecutive months of gains. The statewide median sales price is up 5.8% year-to-date. While properties listed for sale nationwide decreased 5.7% year-over-year, Alabama’s residential listings continued to tighten, decreasing 10.5% from one year ago.
Low inventory levels were a significant factor contributing to rising sales prices throughout 2018 and continued into the fourth quarter of 2019. With low inventory levels, it is not surprising to see homes selling at a slightly quicker pace than one year ago. Homes selling in Alabama during November spent an average of 92 days on the market, a decrease of one day from November 2018.
NAR’s national perspective:
Existing-home sales declined slightly in November, decreasing 0.5% year-over-year from approximately 406,000 closed transactions one year ago to 402,000 currently. The nationwide median existing-home price increased 5.4% in November, marking 93 consecutive months of year-over-year gains. Lawrence Yun, chief economist for the National Association of Realtors, said, “Sales will be choppy when inventory levels are low, but the economy is otherwise performing well, with more than 2 million job gains in the past year.” Properties listed for sale nationwide declined 5.7% in November from approximately 1.74 million listings one year ago to 1.64 million currently.
Local Lake Martin Realtor
Miller Dark is a top producing Lake Martin Real Estate Agent. His focus is waterfront homes, condos and lot sales on Lake Martin. Miller has over 20 years experience focusing on listing and selling waterfront property on Lake Martin. Buying or Selling on Lake Martin, Contact Miller.
