Montgomery, AL Metro Area Housing Market Analysis - August 2024
The Montgomery, AL metro area housing market in August 2024 presents a nuanced picture with varying trends across key metrics. Below is a detailed analysis of the current state of the market.
Median Sales and List Prices
The Median Sales Price for homes in Montgomery stands at $250,000, reflecting a slight decrease of 0.2% year-over-year (YoY). In contrast, the Median List Price has risen to $239,000, marking a 4.1% increase YoY. This divergence suggests that while sellers are optimistic and setting higher asking prices, the final sale prices are experiencing a minor downward adjustment.
Price Per Square Foot
The median Price Per Square Foot has seen a notable increase, reaching $132.91, which is up by 6.2% YoY. Similarly, the Median List Price per square foot has risen to $130.72, a 4.5% increase YoY. These figures indicate a growing valuation of property on a per-square-foot basis, reflecting a robust demand for space.
Sales and Inventory
The number of Homes Sold in August 2024 is 417, showing a marginal increase of 0.2% YoY. Pending Sales, however, have slightly decreased by 0.2% YoY, totaling 482. New Listings have surged by 14.9% YoY, reaching 577, while inventory has expanded significantly by 22.1% YoY, now standing at 1,420 homes. The Months of Supply, a critical indicator of market balance, has increased dramatically by 60.0% YoY to 3.40 months. This substantial rise in inventory and supply suggests a shift towards a more buyer-friendly market.
Market Dynamics
The Median Days on Market for homes in Montgomery is 47 days, which is a 4.0% increase YoY. The average sale to list ratio has slightly declined to 96.8%, down by 0.9% YoY. The percentage of Homes Sold above list price has decreased to 16.3%, a drop of 4.4% YoY. Additionally, the proportion of Price Drops remains unchanged at 21.8%, while the percentage of homes going off-market within two weeks has decreased by 9.7% YoY to 38.8%. These metrics indicate a cooling in market competitiveness, with homes taking longer to sell and fewer transactions closing above the list price.
In summary, the Montgomery, AL metro area housing market in August 2024 is characterized by increasing inventory and supply, rising list prices, and a slight cooling in sales dynamics. While the market remains active, the trends suggest a shift towards more balanced conditions, potentially offering more opportunities for buyers in the coming months.
