Home sales jump in February 2010 in Spanish Fort, Daphne and Fairhope

Home sales rose 46% in February and pending sales increased almost 7% over January on the Eastern Shore of the Mobile, Alabama, Metro area.

Ok, so January is rarely a great month in real estate in Spanish Fort, Daphne and Fairhope. But an increase from 43 sales in January to 63 in February (even with the distractions of Mardi Gras and the Super Bowl) is worth noting.

Buyer activity registered through property showings is also up.

But does it have staying power?

Maybe. People can only put their lives - and the real estate that's often tied to it - on hold for so long. So there is a long pent-up demand.

Home prices are quite attractive on one hand, and some buyers are concerned about the specter of rising mortgage rates.

Certainly, the home-buyer tax credit, in which purchase agreements must be in place by April 30, is giving people a reason to move and move now.

But there is still uncertainty and reluctance among Realtors and those in related fields to say that "IT" is over.

On the horizon: The Home Affordable Alternative Foreclosure Program or HAFA, which goes into effect April 5. This program specifically deals with short sales where a property is worth less than what is owed. A major provision in this program is that lenders will be prohibited from demanding a seller repay the debt that's released after the home sells.

There are many qualifications for sellers and undoubtedly loopholes for lenders, but it's entirely possible that this may prompt a flood of new "short" properties on the market, whether they will be successful in using HAFA or not.

While this may give some sellers much-needed relief, it won't bode well for stabilizing home prices.

  
Here are the stats for the Eastern Shore:
Total houses for sale: 1,203, including 74 short sales or foreclosures.
Spanish Fort: 152
Daphne: 373
Fairhope: 563
Lake Forest: 115
 
Pending sales
Total:  125 (28 are new construction)
Spanish Fort: 16

Daphne: 47
Fairhope: 49
Lake Forest: 13
 
 
Closed sales for February 2010
Total: 63 (17 new construction)
Average sales price: Up again to $240,136, from $224,209 in January.

Median sales price: $179,850, which is down from $194,500 in January

List to sale percentage: 95.44%, up from 93% in January

Spanish Fort: 7
Daphne: 28
Fairhope: 21
Lake Forest: 7
 
(Data from the Baldwin County Multiple Listing Service)

 If I can help you further in the sale or purchase of your home in Fairhope, Daphne or Spanish Fort, please call Janet English, RE/Max By The Bay at 251 591-2411. (Yes, people do read this, contact me and actually sell their home!)