A new month brings an opportunity to take a snapshot of the Huntsville real estate market and evaluate any trends that may be evolving. Thus in this post we will take a brief look at February’s year over year supply, demand, and price pressures to get a feel of how our area’s market is performing.
A brief look at February’s year over year statistics indicates: supply has remained relatively flat with only a 1.7% increase in inventory, demand however has decreased with 16% fewer sales continuing a trend we have seen since October 2007, leaving a 9.5 month supply of inventory. The following charts illustrate February’s year over year supply and demand fluctuations:
Looking month to month from Jan to Feb 2008 the picture is much better as inventory has leveled off and sales have increased which is consistent with seasonal trends.Supply and demand fluctuations are generally met with price pressure in any market regardless of the product. Since we have been experiencing a short term demand slowdown how has pricing been effected?Looking at a square foot price history of our market, along with its 12 month moving average indicates that some buyer market price pressure is apparent during the last three months. However, prices are holding up well and are trending upward again although at a more moderate pace.
In conclusion, the Huntsville real estate market is one of the strongest in the region and still preforming well even as many regions around the country are experiencing some economic stress.If you are currently in the market as a buyer or seller, it is important that you have representation that understands the ebbs and flows of the local market and if you currently don’t have an agent we would certainly like an opportunity to interview for your business.
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