The real estate market is strong in Over the Mountain areas despite the pandemic, according to real estate professionals.
With low inventory on the market and continuing low interest rates, listing prices in the area are up across-the board, according to the Birmingham Association of Realtors. Mountain Brook and Homewood lead in this measure, with prices up 37.61% and 28.78% respectively.
Houses also tend to sell quickly, sitting for only 20 days on the market in Hoover and 23 in Vestavia Hills.
“Based on the numbers and interest rate projections, real estate continues to look strong going into 2021,” Chris Bakane, interim CEO of the Birmingham Association of Realtors, said in a statement.
David Lucas, president of the Birmingham Association of Realtors, agreed.
“We started the year with low inventory and increasing home sale prices,” he said in the statement. “When the COVID pandemic struck, there was an anticipated lull in the market for approximately 45 days. Once the initial shock wore off, the market recovered, and sales improved.”
He said the market in Homewood, Hoover, Mountain Brook and Vestavia Hills all are strong. The pandemic has contributed to the housing inventory remaining low, including people working from their homes and students being educated virtually, he said.
“These factors have limited some of the available showing windows for properties,” Lucas said.
Central Alabama overall is following the same trends. The average sales price of houses for the year is $284,707, which is 17.67% more than the average in September 2019. Houses on average are on the market for 33 days before being sold.
A National Association of Realtors survey showed Realtors in Alabama expect the median home price and sales volume to increase by 1% to 2% in the last quarter of the year.
Here is data for Over the Mountain cities in September compared to last September:
Homewood
• 54 new listings – down 5.26%
• 117 total active listings – down 18.18%
• 41 total pending sales – up 46.43%
• 41 closed sales – 0% change
• $519,642 average listing price – up 28.78%
• $495,208 average closed sales price – up 34.87%
• average days on market – 44 days
• closed sales price vs. listing price – 98.58%
Hoover
• 220 new listings – down 2.65%
• 501 total active listings – down 28.43%
• 190 total pending sales – up 11.76%
• 201 closed sales – up 16.86%
• $498,008 average listing price – up 5.73%
• $405,539 average closed sales price – up 12.50%
• average days on market – 20 days
• closed sales price vs. listing price – 99.80%
Mountain Brook
• 56 new listings – up 9.8%
• 99 total active listings – down 29.29%
• 37 total pending sales – down 22.92%
• 45 closed sales – up 28.57%
• $1,233,806 average listing price – up 37.61%
• $850,163 average closed sales price – up 2.35%
• average days on market – 45 days
• closed sales price vs. listing price – 98.74%
Vestavia Hills
• 79 new listings – down 5.95%
• 267 total active listings – up 0.75%
• 77 total pending sales – up 28.33%
• 83 closed sales – up 23.88%
• $571,510 average listing price – up 7.56%
• $445,792 average closed sales price – up 3.25%
• average days on market – 23 days
• closed sales price vs. Listing price – 99.29%
—Virginia Martin
