Are we moving to a seller’s market in Prattville?
by Sheila Meuse
We all know that it has been a tough time for most sellers nationwide over the past few years, but many areas are moving toward a balance of homes available to eligible buyers or even a home shortage. Our area has maintained low prices and a plentiful inventory, but it looks like the Prattville area in particular is seeing relatively strong home buying activity and reduction in inventory.
Area prices up, but still well below the national average
Overall in the Prattville real estate market, conditions are becoming more balanced for buyers and sellers, and look to be tipping in favor of home sellers. More homes in Prattville are selling and at a higher average price compared to a year ago. Although there appears to be an upward trend in the average single family residential home sale price in the area over last year, our area home prices for available listings remain well below the national average of $240,700 for the end of second quarter 2016. (http://realtormag.realtor.org/daily-news/2016/08/11/median-home-price-tops-1-million-here)
Based on statistics from the Montgomery Area Association of Realtors, Multiple Listing Service (MLS), in August 2016, Prattville saw a total of 33 single family residential home sales for an average unit cost of $246,900 Although home sales for August 2015 were at a similar pace (30 sales) they were at a significant lower average price per sold unit of $177,082 a year ago.
Selling faster, but still much slower than the national average
Average days on the market for Prattville homes that have sold,has remained relatively low for the area over the past year at fewer than 80 days. Available single family residential homes on the market (current active listings) averaged 85 days on the market. Our area and Alabama in general, however, are lagging behind the nation in days to sell. Many states had median days to sell at fewer than 31 days. Only Alabama and Wyoming had a median of over 90 days from listing to home sale according to an article published recently by the National Association of Realtors: http://economistsoutlook.
Inventory trending downward
Our local MLS data also show that August 2016 was marked by a decrease in the number of single family residential listings in the Prattville (126 compared to 163 in August 2015.) Based on the rate of sales, the inventory of available single family residential homes is only about a 4 month supply. A six month housing supply is considered a balanced market, with a supply less than six months favoring sellers.
I provide expert real estate services to residential buyers and sellers in the Central Alabama area, including Prattville and the surrounding communities. Contact me today for more information on area real estate and for professional assistance navigating this complex home market. Contact me for a complimentary buyer or seller consultation.