According to the Alabama Economic and Real Estate Report released by the Alabama Association of Realtors on Friday, “the state had reason to give thanks in November” as home sales bucked the traditional seasonal downturn by remaining stable month-over-month and increasing by 3.8 percent compared to 2024.
“Sales are up year-over-year as are prices, while month-over-month sales were stable and prices dipped slightly,” Alabama Realtors economist Evan Moore said. “Consumer sentiment fell in November with the national labor market weakening, but Alabama’s labor market is relatively strong, and residential market conditions are conducive to a year-over-year sales increase this December.”
The monthly report noted that Alabama experienced 5,778 homes sales in November, which represents a 0.1 percent increase from October and is 213 more than one year ago. When considering current indicators and market conditions, economists predict home sales will once again remain stable between November and December.
The median sales price in Alabama grew by $39,275 year-over-year to $251,784, an 18.5 percent annual increase but a slight 0.6 percent drop month-over-month. Economists noted that homes maintained their equity and show strong value, and they forecast that the median sales price will remain unchanged between November and December.
The sold dollar volume in November, which is the combined sales price of all homes closed during the month, was $1.63 billion, 21.8 percent, increase over the same period last year, but 1.8 percent lower than the month prior.
The 20,725 active monthly listings at the end of November, which represent 4.8 months of supply, were 7.5 percent higher than the 19.272 of last year, and the 71 days on average that homes remained on the market were just one day longer than in October and three days longer than the same period in 2024.
For the first time since May, the AAR report included a housing affordability analysis and determined that home affordability improved slightly in November compared to October but remained slightly out of reach of the median Alabama household based upon total income and sold prices realized.
The latest Bureau of Labor Statistics numbers showed that Alabama added 400 jobs in September, which brings the state’s total to 2,216,200. Alabama’s 2.8 percent unemployment rate in September is the since December 2023 and marked the fourth straight month of decline along with the second consecutive month below 3.0 percent.
