The Yellowhammer State’s June home sales turned around a nine-month decline, according to the Alabama Association of Realtors.
The 6,577 homes sold in June is a 1.9% increase over May.
“This recent increase in sales may indicate that buyers are adapting to today’s mortgage rates and are continuing to pursue homeownership,” said RaJane Johnson, president of Alabama Realtors. “As the housing market adjusts, potential buyers and sellers should closely monitor market trends and seek guidance from real estate professionals to help navigate the evolving landscape.”
The association said it hopes the June numbers will allow a sense of optimism going into the next half of the year.
“It is encouraging to see a positive trend in sales for the month of June. Mortgage rates remain low by historical standards,” said Jeremy Walker, CEO of Alabama Realtors. “Increasing job growth, labor participation, and consumer sentiment are providing optimism for a strong second half of the year.”
Key Indicators from June Home Sales:
- Home prices: The average, or mean, sales price decreased by 11.7% year-over-year in June 2023. The average price decreased by 2.7% compared to May 2023.
- Sales volume: The sold dollar volume was $1.5 billion in June, a decrease of 0.8 billion from last June. This is a 34.8% decrease. This decline in sold dollar volume is driven by fewer sales and the lower average sales price.
- Days on the market: Homes sold in June were on the market for 49 days, on average. This figure is 16 days longer compared to one year ago, but one day less compared to May 2023. This is the first days on market value below 50 since August 2022.
- Supply levels: Housing supply levels remained constant in June 2023 as there were 2.7 months of supply. This figure surpasses the 0.9 months available one year ago, reaching the recent highest level of supply set last month.
Alabama’s real estate market continues with median sales price and total sales volume remaining stable over the last two months and are expected to remain stable in July.
Austen Shipley is a staff writer for Yellowhammer News.
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