The November 2024 Alabama Economic and Real Estate Report delivered positive news about the state’s housing market for home buyers and sellers.
The data showed that for the first time in three months, home sales numbers have increased.
The report, published monthly by the Alabama Association of Realtors, showed that the state recorded 5,168 home sales in November. That figure represents a 5.9% jump from October’s stagnant numbers and reverses the three-month decline. While last month’s increase in sales was significant for the market, the number is still 2.5% behind the same period in 2023.
“Cuts to the Fed funds rate and rising yields on the 10-year treasury note may predicate a more ‘normal’ rate environment,” said David Hughes, economist at Alabama Realtors. “This suggests that 30-year mortgage rates are likely to remain above 6%, but even in the face of rates above 6%, median home prices have risen year-over-year for the last six months.”
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Additionally, the sold volume in Alabama was $1.24 billion in November, a 19.2% increase month-over-month and a 2.48% increase from one year ago.
In another positive trend for sellers, the median sales price across Alabama increased by $6,093, representing a 0.4% increase month-over-month when compared to October, and a 2.8% rise from the $215,018 of November 2023, which marks the sixth straight month of year-over-year increases.
At the same time, the state’s 19,272 active listings remain near five-year highs, which allows buyers more choice and the ability to more easily find a home that fits their specific wants and needs. Last month’s report also showed there were 416 home foreclosures, a substantial 22.2% decrease from 2023 and a 3.7% decrease from October.
When the report was released, the 30-year fixed-rate mortgage was at its lowest level in seven weeks and 35 basis points below the 6.95% of this time in 2023.
Austen Shipley is a staff writer for Yellowhammer News. You can follow him on X @ShipleyAusten
