Each month, we compile data for single family homes sold in Mobile County according to the Mobile Area Association of Realtors MLS data. We do this to analyze trends in our area. The charts give the public a snapshot of our local real estate market.
We look at 5 areas of analysis – Number of Units Sold, the Median Sales Price of all of the homes sold, the number of Homes Available for Sale (aka inventory level), the Median Days on Market for the all of the Homes Sold, and the Absorption Rate. The absorption rate is calculated by dividing the number of available homes by the number of units sold. This calculation returns the number of months of inventory available. If no new homes were added, theoretically this is the amount of time it would take to sell all existing homes that are currently on the market. Traditionally, if the absorption rate is higher than 6 months, then the market can be considered a buyer’s market.
The number of units sold of 362 is 2% down from same period as last year. The trend of units sold by month is very similar this year when compared to last year just that this year’s numbers are slightly lower. Click on the chart to see a larger view.
The Median Sales Price of a home sold in Mobile County is up significantly this month. This month's value is $149,000. In fact this figure is the highest it has been over the 18 month analysis period. The median sales price of a home rose 10% compared to same period last year. Click on the chart to see a larger version.
The inventory levels in Mobile continue to be replenished. Even though the number of homes available for sale decreased this month, it is up significantly from this time last year. In fact the number of available homes is up 39%. Compared to 18 months ago, the number of available homes has doubled. Again, the Mobile market had its inventory depleted after Hurricane Katrina, so this percent increase in the number of homes is not too much a level of concern. As the inventory levels increase, buyers are given much more bargaining power. Click on the chart to see a larger view.
The Days on Market field has also shown a huge increase from the same period as last year. In fact the number of days has increased 40%. Click on the chart to see a larger view.
The Absorption Rate is at highest points in the last 18 months. As the number of homes added to inventory and the number of sales decreases, the net result will be higher absorption rates. We would expect this rate to increase in the next few months until the higher volume selling months of the Spring get here in March.
Click on the chart to get a larger view.
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