Condo Sales Up 13% From Last May
Inventory down by 18%
By Alabama Center For Real Estate
May condo sales along the Alabama’s gulf coast in Baldwin County experienced an 13.3 percent increase from last month. Gulf coast condo sales have now risen 107 percent from the market sales trough set in May 2007(see chart).
Year-to-date (YTD) condo sales through May have increased by 7.4 percent, a figure that is considered sustainable by local experts.
Supply: Baldwin County condo inventory totaled 1,054 units, a decrease of 17.8 percent from May 2011 and a 2.2 percent decrease when compared to the prior month. Historical data indicates that May inventory on average (’07-’11) increases from the month of April .3 percent. Condo inventory in May peaked in 2007 at 3,244 units. The inventory is now down 67% from peak. In May, the months of condo supply stood at 7.3 months. In May 2007, it was 46.3 months of supply. Anyway you look at it, this is progress and positive news for gulf coast real estate.
Demand: Gulf coast condo sales were 13.3 percent higher than the prior month. This movement is an improvement from historical data indicating that condo sales, on average (’07-’11), increase from the month of April by 1.4 percent.
The general consensus among market experts along the coast is this trend should continue. There remains pent up demand as buyers since 2007 have taken a cautious approach, especially immediately following the oil spill. With each passing month, positive market momentum is being experienced in most of the condo statistics that reflect a much more confident market and one continuing to mend. Of course, low interest rates and attractive pricing certainly provide an incentive for searching for property along the gulf coast.
Pricing: The Baldwin County condo median selling price in May was $261,900, an increase of 60.4 percent from last May which represented the market’s bottom in terms of pricing for the month of May. This figure also represents an increase of 13.4 percent when compared to the prior month. Historical data (’07-’11) indicates that the May median condo selling price increase from the month of April by 1.1 percent. The median condo price still remains 18.2 percent below its peak established in May 2007. See graphs in actual report for more details.
As the condo market transitions through the second quarter of 2012, statistical volatility is anticipated. With that said, the recent favorable trends should continue as the market transitions into its peak late spring/summer buying season.
View the current monthly Baldwin County (Gulf Coast) Condo Report here.
This monthly report is provided compliments of Barr Group Mortgage.
Baldwin County Condo Monthly Report is work product developed in conjunction with the Baldwin County Association of REALTORS to better serve both local and worldwide consumers interested in the sandy white beaches along Alabama’s treasured gulf coast. The ACRE monthly report is provided to illustrate the “general” market direction & trends when comparing prior periods with the most current available condo data. Real estate is local and statistics will fluctuate between areas along the gulf coast including specific condo properties. ACRE recommends that you consult a local real estate professional for “specific” advice associated with the condo market in Baldwin County.
About ACRE. ACRE was founded in 1996 by the Alabama Real Estate Commission, the Alabama Association of REALTORS and the Office of the Dean, UA Culverhouse College of Commerce. ACRE is not a state-funded entity, rather its operates in part because of the goodwill & generosity of our statewide ACRE Partners.
For other Alabama real estate resources & news, please visit our website and our ACRE blog. You can also follow ACRE from our facebook page, just “like” http://www.facebook.com/acreua and/or on twitter @uaacre.
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