September showed a drop of 22% in number of units sold in Mobile County. This trend was also apparent at the time last year.
The median sales price of a home in Mobile County has taken a drastic turn down in past two months. We show a drop of $18,000. We still show an increase of $3000 when compared to December of 2005. We had a drop in median sales price last September and then it went up again in October. We will have to see what happens this October.
Our inventory levels in Mobile County have doubled since December of 2005. The inventory levels at that time were depleted as a result of the migration of people moving here after Hurricane Katrina and the demand on the local real estate market that the storm created.
The Days on Market of 59 days is a great number when compared to other parts of the country. The number has been pretty steady in Mobile County for the last 2 years.
Absorption Rate is calculated by taking the number of homes available and divide it by the number of homes sold. Our result for September is the highest that is has been in over 2 years. Based on the number of 8.35 months number, Mobile can be considered a buyer's market because most professionals consider the threshold to be 7 months.
The next few months will be interesting. We feel that the sales numbers in the next few months will be down because traditionally that is what we have seen in the Mobile real estate market. The tightening of the mortgage approval process should logically reduce the number of potential buyers as well. There are a number of new industries coming to Mobile. There is also many existing companies that are expanding their existing operations. The employment picture in Mobile is very bright. I do not see the effect of the of the business expansion on Mobile until after the first of the year.
Please drop us a line if you have any questions or visit our website for other real estate information regarding Mobile.
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