The cold season of lower Alabama hasn't seemed to phase condo sales along the coast as we continue to see increases in sales compared to the same time last year. Although median prices are up nearly 10% since last December, low interest rates and demand continue to drive sales for both investors and full-time residents alike whether you are looking to purchase in Caribe Resort or Sailboat Bay.
As you can see from the illustration above, we saw a 22.4% increase in sales for the month of December with a total of 120 condos sold in Baldwin County. Year-to-date totals for condo sales are also up through December at 10.7% compared to 2014.
As demand continues to rise, two other factors automatically come into play: supply decreases and prices rise. There were 901 condos listed for sale last month compared to 963 listed a year ago, equating to a 6.4% decrease in inventory. Another interesting factor pertaining to supply is the inventory-to-sales ratio. This figure comes from dividing the inventory of condos on the market by the current monthly sales volume. This gives us the number of months of condo supply. For December, we were at 7.5 months supply compared to 9.8 months supply a year ago. When demand is high, the next indicator is an increase in price. The median selling price for condos in Baldwin County was $271,250, which is an 8.8% increase from December 2014's median price of $249,375.
I'm sure we will have a few more chilly days, but today is February 1st and it's 70 degrees. Wow, I sure love it down here at the beach. As it gets warmer and warmer, the serious real estate season will kick in. Don't miss out on staking your piece of paradise. Please contact me with any questions about purchasing your own condo at the beach.
Jeff Nelson
Bellator Real Estate & Development
251-654-2523
