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        <title>Huntsville, Al Real Estate Blog</title>
        <link>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/2023-09/</link>
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    <guid>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/sneak-peek-listings-for-september-29th--huntsville-al-homes-for-sale.html</guid>
    <link>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/sneak-peek-listings-for-september-29th--huntsville-al-homes-for-sale.html</link>
        <author>leadrouter@mattcurtisrealestate.com (Matt Curtis)</author>
        <title>Sneak Peek Listings for September 29th | Huntsville, AL Homes for Sale</title>
    <description> <![CDATA[ 
Sneak Peek Listings for September 29th


2516 Celia - $429,000


2516 Celia Court, Huntsville, Alabama 35803


5 Bed | 3 Bath | 2,597 sqft


Talk to an MC Agent today for more info or call 256-270-9393











6306 Sheri - $100,000


6306 Sheri Drive NW, Huntsville, Alabama 35806


.33 Acre Lot


Talk to an MC Agent today for more info or call 256-270-9393
 ]]> </description>
    <pubDate>Fri, 29 Sep 2023 13:56:00 -0500</pubDate>
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    <guid>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/huntsville-housing-market-report--august-2023.html</guid>
    <link>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/huntsville-housing-market-report--august-2023.html</link>
        <author>leadrouter@mattcurtisrealestate.com (Matt Curtis)</author>
        <title>Huntsville Housing Market Report | August 2023</title>
    <description> <![CDATA[ 
Huntsville Housing Market Report | August 2023








The August 2023 Huntsville Housing Report is here, and it brings insights into the local real estate landscape. We'll be discussing the impact of reduced new listings on both sellers and buyers, along with the implications of declining pending sales. Closed sales have taken an unexpected turn, particularly in the context of new construction projects. Median sales prices are also under the spotlight, showing interesting trends across various areas. Housing affordability remains a concern as it continues to fluctuate, influenced by rising interest rates. Lastly, we'll look into housing inventory and supply, revealing key indicators of the current market status. If you’re looking to buy or sell a home in Huntsville, this report could provide you with key information to help you make the best decision based on your situation.


New Listings, Pending &amp; Closed Sales


New listings are down 5.5 year over year from 803 last August  to 759 this year. That's good and that's negative all the same time. It’s good for sellers that are trying to get the most money for their homes because there's less inventory to choose from. The negative impact is on buyers. There simply isn't enough supply in the marketplace, and not enough new options are becoming available for buyers looking to make a purchase this season.


In line with the decline in new listings, pending sales are also down by 3.75. With fewer listings on the market, there are fewer sales in the marketplace. The number has decreased from 645 to 621, which is in line with expectations given the reduced listings and higher interest rates. There is expected to be slightly less demand during the Q4 compared to last year.


Closed sales are the statistic that will truly make you scratch your head. While we have new listings down by 5.5 and pending sales down by 3.75, closed sales have plummeted by 21 in the North Alabama area year over year, dropping from 753 units to 595 units. The primary reason for this decline is closely tied to new construction.


Many builders, or a significant number of builders, were employing a strategy known as presales. In this approach, a buyer would contract a home, select their preferences, and then close on it at the end of construction. However, this strategy faced challenges due to delays in supplies and other factors, causing many new construction projects to take longer than anticipated. Instead of the usual six months, some homes took 12 or even 18 months to complete. When comparing closings last August to this year, we don't observe the same level of pent-up demand for new construction. Additionally, many builders have shifted towards speculative builds, meaning they are not relying on presales as much as before.


That's the main difference that we're seeing year over year. Morgan County is down even more significantly than Madison County, they're down 49.2. Limestone County is more closely tracking with the overall area at 17.2, down from 191 to 163 closings.


Median Sales Price &amp; Percentage of List Price Received


Overall, the median sales price has stayed relatively flat over last year. If you look at all of north Alabama, it's an increase of 0.4, $334,450 versus $333,000 last year. Huntsville is basically flat as well, it has slightly increased from $367,000 last year to $370,000 this year.


Interestingly, the Athens market has seen a jump from $359,000 last year to $370,000 this year, matching the median sales price of Huntsville. Athens has significantly increased in desirability for buyers, offering various attractions, excellent school districts, and an improved quality of life in the area. In terms of pricing, Athens is now just as popular as the Huntsville market.


Morgan County has also experienced a significant increase, with prices jumping from $259,000 to $295,000. This is particularly interesting given that housing sales in Morgan County have plummeted by 49.2. However, the rise in prices can be attributed to the affordability factor, as Huntsville and Athens have become considerably more expensive. That means all other ships are going to be of rising with the tide and Morgan County is going to continue to see price increases. Another contributing factor is the substantial amount of new construction happening in the Priceville, Decatur, and Hartselle areas.


Let's jump into the percentage of list price received. This time last year, we were at 100.3, meaning that most homes were selling slightly above their list price. Today, we are observing 99.1, which is still quite remarkable. In a typical market, you would expect to see around 97. We remain in a seller's market, with homes selling rapidly at an average of 25 days on the market and still fetching a high percentage compared to our list prices.


Housing Affordability in Huntsville, Alabama


To me, the big news revolves around housing affordability. Housing affordability continues to decline, and I recall just a couple of years ago when our scores were above 150 here in the Huntsville area. Now, housing affordability has dropped to 77. To provide a quick reminder, a score of 100 signifies that the median household income can afford a home within the median price range in our area. Unfortunately, that's no longer the case here in Huntsville. Last year, it was at 91, representing a 15.4 year-over-year decrease. Just two years ago, in 2021, it stood at 127. Townhomes also continue to experience a decline, with a decrease of 21.3. This year, we are at 100 compared to 127 the previous year. Looking back at 2021, we reached as high as 162.


Affordability continues to get hit as prices stay high and increase in some of the rural areas like Morgan County and Limestone County. This impact is increased by the rising interest rates, which are nearing 8. As we approach this 8 mark, affordability is likely to continue to be affected, and I anticipate that the percentage of list price received may decrease. Also, our median-priced homes may face challenges for a season as interest rates reach 8.


Another factor to watch in Q4 is new construction. Many builders are currently offering incentives to encourage home purchases before the end of the year. Therefore, in Q4, we may witness different figures in terms of the percentage of list price received and possibly even the median sales price.


Housing Inventory &amp; Housing Supply


A positive point to note is that the inventory of homes has increased by 16.9 year over year, with 1,579 homes compared to 1,351 in August 2022. It has doubled since 2021, which is also a good sign. However, we are still far from reaching what is considered a normal market. Typically, we see anywhere between 2,500 to 3,000 homes on the market in Huntsville. Currently, in the general Huntsville area, we have approximately half of that at 1,579 homes.


Housing supply has also increased, which is a positive sign reflecting the additional housing inventory we now have. Housing supply stands at 2.9 months' worth of supply. This metric indicates how long it would take to sell all the homes based on the current rate of sales if no new homes became available on the market. It would take 2.9 months to sell all those homes, compared to 2 months this time last year.


Despite the improvement, we are still considered to be in a seller's market. A balanced market is typically considered to be anywhere between 4 to 6 months of supply, with anything below 4 months being considered a seller's market. This classification is further supported by the fact that we're receiving 99.1 of the list price for homes, all of which point to a seller's market.


Considering buying, selling, or getting your home valued in North Alabama's evolving real estate market? Contact us today for expert guidance and insights to make informed decisions in this changing landscape.


 



 ]]> </description>
    <pubDate>Fri, 22 Sep 2023 14:47:00 -0500</pubDate>
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    <guid>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/huntsville-al-area-home-for-sale-sneak-peek-listings-for-september-22nd.html</guid>
    <link>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/huntsville-al-area-home-for-sale-sneak-peek-listings-for-september-22nd.html</link>
        <author>leadrouter@mattcurtisrealestate.com (Matt Curtis)</author>
        <title>Sneak Peek Listings for September 22nd | Huntsville, AL Area Home For Sale</title>
    <description> <![CDATA[ 



Sneak Peek Listings for September 22nd


1011 Bluefield - $599,900


1011 Bluefield Avenue SE, Huntsville, Alabama 35801


4 Bed | 2 Bath | 2,086 sqft


Talk to an MC Agent today for more info or call 256-270-9393








26011 Camden - $289,900


26011 Camden Court, Athens, Alabama


3 Bed | 2 Bath | 1,850 sqft


Talk to an MC Agent today for more info or call 256-270-9393


 



 ]]> </description>
    <pubDate>Fri, 22 Sep 2023 08:13:00 -0500</pubDate>
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    <guid>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/expert-advice-for-homebuyers--sellers--huntsville-alabama-housing-news.html</guid>
    <link>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/expert-advice-for-homebuyers--sellers--huntsville-alabama-housing-news.html</link>
        <author>leadrouter@mattcurtisrealestate.com (Matt Curtis)</author>
        <title>Expert Advice for Homebuyers &amp; Sellers | Huntsville, Alabama Housing News</title>
    <description> <![CDATA[ 
Expert Advice for Homebuyers &amp; Sellers in Huntsville, AL 





With a shifting real estate market and high-interest rates leaving homebuyers and sellers uncertain about their next steps, we look at the current real estate landscape in Huntsville, Alabama and break down the opportunities available, whether you're buying or selling your home.


For homebuyers, now presents a prime opportunity despite the higher interest rates. For home sellers, the low supply could offer the perfect chance to capitalize on rising equity, but it's crucial to consider market factors. While interest rates are impacting the residential real estate market, the influence of commercial real estate on regional banks could potentially lead to repercussions for borrowers.


Whether you're in the market to buy or sell in Huntsville, this information can assist you in making the best decision based on your situation.


Why Now is the Ideal Time to Buy in Huntsville, Alabama


With interest rates reaching a 20-year high, my next recommendation might sound a little self-serving, but I'm suggesting that buyers who are capable of making a purchase should consider doing so at this moment. I understand what you might be thinking: a typical salesperson always claims it's a great time to buy, but that’s simply not the case. However, I'm recommending it right now for several compelling reasons, which we'll delve into shortly. The most significant factor is that I, as an investor, am currently making purchases myself, so I genuinely believe in what I'm about to share with you.


One of the reasons why I believe that now is an excellent time to buy and truly take advantage of this market is related to an article recently published by Realtor.com. In the article, Huntsville was ranked as the number one city in the US in terms of the increase in price drops year over year. Essentially, last year, we didn't see many price drops, but this year, we are experiencing a significant increase in price drops, largely due to new construction.


Several factors are at play due to the high level of interest in Huntsville. Many large national builders have established a presence here and are heavily investing in our area to expand our housing inventory. However, as a result of this and the higher interest rates, they've found themselves grappling with an excessive amount of inventory toward the end of the year. What do large national publicly traded builders aim to achieve by the year's end? They try to offload all this inventory from their books before the year is over. This situation doesn't only involve large national builders but also some small local builders who opted for a more speculative approach rather than pre-sales. One of the primary reasons for this choice is the continuing rise in commodity prices. They wanted to ensure they could maximize their profits from home sales by pricing the homes &quot;after sheetrock,&quot; essentially once they had all the pricing information for the home. This is how we arrived at our current situation, where interest rates have increased, and builders are incurring more interest expenses on all these homes.


With that said, we currently have a surplus of inventory, leading builders to reduce prices significantly. They're providing various incentives, such as free refrigerators, complimentary fences, and substantial contributions towards closing costs. Additionally, they're offering rate buy-downs. This presents a tremendous opportunity for buyers to capitalize on new construction deals. However, these favorable conditions are also affecting the resale market. Sellers who need to sell during this period are compelled to make concessions and reduce prices to attract buyers, especially in comparison to the allure of new construction homes.


Maximizing Opportunities in Huntsville Real Estate


 


Not only is this a great opportunity to capitalize on new construction but arguably the best opportunity I've seen in new construction since the Great Recession of 2008. In fact, I believe it's an even better opportunity due to the presence of equally attractive or even better incentives. Back in 2008, it was akin to catching a falling knife because while incentives were offered, prices were still on the decline whereas prices are staying steady here in the Huntsville market and really across the US as well.


That's why I believe it's an excellent opportunity to make the most of new construction and even some of the resale properties. Furthermore, the average income in the Huntsville area has increased significantly. Our overall income has risen by 30 over the past two years, primarily due to the influx of high-paying government jobs to the region. This has led to a remarkable increase in household income in our area, which is quite remarkable, especially considering that the Wall Street Journal recently reported a decline in average household income over the last three years when accounting for inflation.


Our Huntsville market is performing well in terms of income and buying opportunities in Q4. If you happen to fall into the 15 category where we boast one of the highest percentages of households earning $100,000 or more, I highly recommend considering a shift from Federal Reserve notes. When you delve into it, you'll find that they're not worth the paper they're printed on. It's advisable to transition into real money and tangible assets, and one of the most effective ways to do so is by investing in real estate at this time.


Implications of Commercial Real Estate on Regional Banks


Another factor to consider if you're looking to make a purchase in Q4 is the expected crash of commercial real estate across the US, likely occurring within the next six to possibly 24 months. As this situation unfolds, you might wonder, &quot;Well, commercial real estate may not be as affected here in Huntsville.&quot; However, what will be impacted are the regional banks. Regional banks typically serve as the preferred lenders for commercial real estate, including apartment complexes and high-rise office buildings. You might not expect local regional banks to be involved in high-rise projects in cities like New York and others, but the reality is that these regional banks often invest in these debt instruments and participate in lending in other cities.


This situation could have an impact on borrowers who depend on what you might refer to as private lending from regional or local banks. If you're not securing a conventional FHA or VA type loan and your circumstances necessitate a private loan from a local bank, you could potentially be affected by these developments. Moreover, this issue could potentially have broader repercussions on the overall economy, as lending conditions might significantly tighten over the next couple of years.


Buying Opportunities Outside of Huntsville &amp; Madison


For individuals looking to purchase and maximize their return, whether for investment purposes or to get the most value out of their home resale, it's essential to consider some local statistics. Huntsville and Madison are shown to be trailing behind many areas outside of the county. Some of these counties are experiencing significant growth due to their more affordable property options, greater potential for affordability improvement, and ongoing infrastructure development that attracts buyers. These areas remain relatively close to Redstone Arsenal and the majority of employment opportunities in the Huntsville region. When it comes to price appreciation over the past several years, Huntsville and Madison have lagged behind areas such as Decatur, Priceville, Hartsville, Athens, and Hazel Green.


Advice for Selling Your Home in Huntsville, Alabama


Shifting to recommendations for sellers, if you're a seller examining your equity, which has increased by an average of 70 over the past five years and are considering leveraging that equity to transition to the next phase of your life—perhaps moving closer to grandkids or retiring in another state—now presents an excellent opportunity to explore these options. This is due to the fact that we're currently experiencing record prices and still have insufficient inventory to meet the demand from buyers in the market. So, if you're a seller, this is an opportune moment to make the most of it.


If you're considering selling and aiming to capitalize on the inflation we've experienced in this market over the past five years, it's crucial to hire a competent agent now more than ever. Your choice of agent matters significantly because it's no longer as simple as placing a sign in the yard and expecting a sale. Due to increased competition from builders, it's vital to engage an agent who excels in analyzing market data and understands the actions of competitors. Your property might be situated in an area directly competing with new construction, or it might not be affected at all. Regardless, you need a real estate agent with access to this information who can provide sound advice. 


It's also important to have a real estate agent that has high integrity and that can help you meet your goals. You may have a flexible timeframe. You may need to sell right away, but depending on your specific objectives in the market, your agent should provide you with the best advice to achieve the most favorable terms, whether that means selling your home quickly, getting the best price, or whatever that may be. They should prioritize your interests when it comes to the timing of the sale. Should it be this quarter or should it be after some of the current inventory has been sold? Really, it all depends on your unique situation, which is why it's crucial to hire someone who understands the market dynamics, is well-versed in the numbers, and genuinely has your best interests at heart.





Looking to buy or sell a home in Huntsville, Alabama? Contact us today 


 



 ]]> </description>
    <pubDate>Fri, 15 Sep 2023 14:57:00 -0500</pubDate>
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    <guid>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/sneak-peek-listings-for-september-15th--huntsville-al-area-homes-for-sale.html</guid>
    <link>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/sneak-peek-listings-for-september-15th--huntsville-al-area-homes-for-sale.html</link>
        <author>leadrouter@mattcurtisrealestate.com (Matt Curtis)</author>
        <title>Sneak Peek Listings for September 15th | Huntsville, AL Area Homes for Sale</title>
    <description> <![CDATA[ 
Sneak Peek Listings for September 15th





14054 Leafmore - $595,000


14054 Leafmore Drive SE, Huntsville, Alabama 35803


4 Bed | 3 Bath | 2,789 sqft


Talk to an MC Agent today for more info or call 256-270-9393








13731 Arbor - $450,000


13731 Arbor Ridge, Madison, Alabama 35756


4 Bed | 2 Bath | 2,839 sqft


Talk to an MC Agent today for more info or call 256-270-9393








6396 &amp; 6394 Green Meadow - $45,000


6396 &amp; 6394 Green Meadow Road NW, Huntsville, Alabama 35810


0.76 Acre Lot


Talk to an MC Agent today for more info or call 256-270-9393





 





 



 ]]> </description>
    <pubDate>Fri, 15 Sep 2023 08:49:00 -0500</pubDate>
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    <guid>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/interest-rate-shifts--unique-homebuyer-opportunities--huntsville-al-housing-news.html</guid>
    <link>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/interest-rate-shifts--unique-homebuyer-opportunities--huntsville-al-housing-news.html</link>
        <author>leadrouter@mattcurtisrealestate.com (Matt Curtis)</author>
        <title>Interest Rate Shifts &amp; Unique Homebuyer Opportunities | Huntsville, AL Housing News</title>
    <description> <![CDATA[ 
Interest Rate Shifts &amp; Unique Homebuyer Opportunities








In an ever-evolving real estate landscape, buyers and sellers are navigating shifting interest rates that have transformed the market over the past year. Matt examines how these interest rate shifts may impact your housing decisions, whether you're a buyer seeking opportunities or a seller strategizing in today's unique environment. This article could assist you in deciding whether now is the best time to buy or sell your house in Huntsville, Alabama.





Interest Rate Shifts and Market Outlook


As buyers seem to be becoming accustomed to this higher interest rate environment, which transitioned from the high-2s and low-3s just a little over a year ago to the high-6s and low-7s this year, the market really seems to be settling out.


Many economists were predicting that we were hitting an inflection point and had truly bottomed out in terms of real estate. Depreciation in some markets, staying flat in others, and modest increases in many markets led many economists to predict that for the rest of this year and into 2024, we would see this inflection point starting from July, resulting in price and home sales increases.


Just as that happened, interest rates began to creep back up as the Fed continued to raise rates and other economic factors caused the 10-year Treasury bond, which mirrors the 30-year mortgage rate, to go up again. Currently, we're starting to see rates in the mid-7s and many economists are now predicting that we're marching all the way up to an 8 rate.


Unique Opportunity for Buyers


As we witness interest rates march up into the mid-7s and potentially reach an 8 range, I believe 8 is going to be a key psychological number. It took the market a while to adjust to 6 and then 7, I think it’s going to take the market a while to adjust again to 8.


As we move into a period with potentially 8 interest rates and a slower season as Q3 transitions into Q4, I believe this might not necessarily be the straw that breaks the camel's back, but we could begin to observe some weakness in terms of residential real estate sales pricing.


I believe Q4 will present a unique buying opportunity for many prospective buyers. Sellers will need to be more open to negotiation if they intend to sell their homes in this market. While rising interest rates pose a challenge, it's good news for buyers in terms of pricing. For those who can strategically manage interest rates or are able to pay in cash, this situation aligns with the 'marry your home day to rate' theme. In Q4, buyers will be rewarded with lower prices, and I'm already noticing new construction builders becoming increasingly aggressive in their pricing and promotions as they aim to clear their inventory by year-end. I believe this presents a unique window of opportunity for buyers to take advantage of the market.


Interest Rates, Inflation, and Election Dynamics


This presents a unique opportunity for several reasons. Firstly, I believe the Fed is engaged in a game of cat and mouse. While they've stated they're not afraid to raise interest rates if necessary, they haven't explicitly committed to further increases. Many are predicting a potential pause in interest rate hikes leading up to the next Fed meeting. In my opinion, they are attempting to bluff the market because they are aware that as interest rates potentially dip back down, especially into the mid-5 to possibly even 6 range, there are numerous prospective buyers on the sidelines waiting to enter the market. This surge in demand will outstrip the available supply.


What will this do? It will likely continue to drive inflation back up. The Fed is attempting to instill fear in the marketplace, suggesting the possibility of further interest rate hikes. This has essentially generated fear and uncertainty that is embedded in the 30-year mortgage rate.


The 30-year mortgage rate is typically loosely tied to the 10-year Treasury rate, usually about 2 above it. However, we are currently well above that, with it sitting at almost 3.5 above the Treasury rate. There is over a percentage point factored into this fear and uncertainty about the Fed's future actions. Once the market realizes that the Fed has concluded its rate-cutting measures, we could see almost overnight interest rates drop, potentially by a point or more. This, in turn, could contribute to inflation, which is likely why the Fed is engaging in this cat-and-mouse game.


The second reason why I believe this could be a distinctive opportunity, not only for Q4 but possibly extending into early Q1 of 2024, is the upcoming election year. I just can't imagine politicians sitting back and allowing us to have high-interest rates in an election year when they're trying to get reelected. While the Fed is not government-owned, there are certainly ties and pressures that can influence it. Therefore, I don't anticipate 8 rates, if we reach that point, to persist for long.


Once again, I view this Q4 as an excellent and unique opportunity for those who can navigate the interest rate landscape, whether by ‘dating the rate and marrying the home’, making cash payments, or accessing funds from sources like a 401(k) when the stock market is underperforming. I believe this is the ideal moment to acquire a forever home or make investment purchases.


Matt’s Advice


We currently have this unique opportunity for buyers. It is a challenge because they are paying higher interest rates and if they're paying higher interest rates, they are going to expect more concessions from sellers right now. Therefore, if you find yourself as a seller, especially during the slower Q4 season and you must sell your home, my advice is that you will need to be strong with your pricing and consider offering incentives, such as interest rate buydowns, to ensure the sale of your home in this market during this season.Looking to buy or sell a home in Huntsville, Alabama contact us today or call 256-333-MOVE.


 



 ]]> </description>
    <pubDate>Fri, 08 Sep 2023 14:44:00 -0500</pubDate>
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    <guid>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/sneak-peek-listings-for-september-8th--huntsville-al-area-homes-for-sale.html</guid>
    <link>https://www.mattcurtisrealestate.com/HuntsvilleAlRealEstateBlog/sneak-peek-listings-for-september-8th--huntsville-al-area-homes-for-sale.html</link>
        <author>leadrouter@mattcurtisrealestate.com (Matt Curtis)</author>
        <title>Sneak Peek Listings for September 8th | Huntsville, AL Area Homes For Sale</title>
    <description> <![CDATA[ 



Sneak Peek Listings for September 8th





24180 Beacon - $580,000


24180 Beacon Circle, Athens, Alabama 35613


4 Bed | 4 Bath | 3,388 sqft


Talk to an MC Agent today for more info or call 256-270-9393





24 Green Creek - $575,000


24 Green Creek Road, Madison, Alabama 35756


4 Bed | 3 Bath | 3,173 sqft


Talk to an MC Agent today for more info or call 256-270-9393





250 New Bristol - $379,000


250 New Bristol Lane, Madison, Alabama 35756


4 Bed | 2 Bath | 1,933 sqft


Talk to an MC Agent today for more info or call 256-270-9393



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    <pubDate>Fri, 08 Sep 2023 08:39:00 -0500</pubDate>
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