Real Estate Update High Inflation Hits Market

HAAR, Alabama Association of Realtors January Reports Detail State of Alabama Market

The Alabama Association of Realtors (AAR) has released the latest issue of its new, monthly report on the state of Alabama’s real estate market.

The issue covers statewide market statistics compiled from the month of January.

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“Average home prices have declined but remain high relative to pre-pandemic levels affecting housing affordability,” said Alabama REALTORS® 2023 President RaJane Johnson. “The combination of higher mortgage rates and higher prices will likely continue to put downward pressure on the number of home sales in the state.” 

The AAR’s report details statistics such as the total sales across the entire state – 7,430, which was over 2,000 fewer than January of the previous year. Having this statewide report as a resource facilitates a swift and easier comparison with the statistics compiled by the Huntsville Area Association of Realtors (HAAR).

Out of the 7,430 homes sold in Alabama in January, 383 were sold in the Huntsville-Madison County area. 

The statewide median home price decreased to $212,000 in January, but according to the HAAR, the median home price in the Huntsville area increased 6.4 % to $295,000. 

The month’s supply for the Huntsville area, 2.4, is slightly higher than the statewide average of 2.1. 

Having such statistics readily-available enables more pinpoint analysis on the aspects of Huntsville’s real estate market that differentiate it from the rest of our state, particularly the continued high demand and continued high levels of construction activity. 

Beyond that, the January report confirms the conditions that we here at the Huntsville Business Journal have followed over the winter; a seasonal slowdown exacerbated by still-high interest rates and wavering consumer confidence.

Make sure to continue reading the Huntsville Business Journal for more Real Estate Updates, formed with comprehensive data from state, local, and national sources.