The market slowdown is firmly entrenched on the Eastern Shore of Mobile Bay.
Indicators show that both the number of homes sold and the selling price range are dropping.
The immediate outlook determined by pending sales also shows a weakness that probably hasn’t been seen for decades in Fairhope, Daphne and Spanish Fort, Alabama.
Here are the stats for the Eastern Shore:
Total houses for sale: 1,225 (25% are new construction)
Spanish Fort: 123
Daphne: 365
Fairhope: 620
Lake Forest: 117
Pending sales
Total: 110
Spanish Fort: 21
Daphne: 34
Fairhope: 44
Lake Forest: 13
Pending sales should be at least double for this time of year, our busiest selling season.
Closed sales for April 2008
Total: 66 (18 homes were new construction)
Average sales price: $314,161
Median sales price: $207,400
List to sale percentage: 96.41%
Spanish Fort: 12 (including 2 foreclosures)
Daphne: 18 (including 1 foreclosure)
Fairhope: 20
Lake Forest: 16 (including 1 foreclosure)
Here’s the comparison, looking at the same data for April 2007
Total: 116
Average sales price: $312,356
Median sales price: $272,450
List to sales percentage: 96.68%
Not only are the number of sales down since April 2007, but the drop in median sales price indicates that sales are more concentrated in the more moderate price ranges.
What can sellers draw from this, other than the need for patience? Competition from new construction is stiff. Houses must be in the best shape possible and pricing should be as competitive as a seller can stand, and maybe then some.