All Forum Posts by: Caroline Davis

Just thought I would share how Huntsville ranks in top American cities to live in after the pandemic according to Business Insider. 

Huntsville had a pre-coronavirus unemployment rate of 2.2%, tied for the sixth-lowest rate among metro areas, and 41.5% of jobs could be done from home, a higher share than in most metro areas.

https://www.businessinsider.com/best-places-to-live-in-america-ranked-2020-6#13-huntsville-alabama-18

https://www.al.com/news/huntsville/2020/06/north-alabama-home-market-avoids-covid-19-slump-in-may.html?fbclid=IwAR0yg8NvthOXDaMeHdkbae6ikQRiGHzyh-gMD9sr7co-BH9udoJsbzO8zr8

North Alabama’s housing market grew in in May, avoiding a COVID-19 slump as sales agents move toward the prime summer home market. But not every county in the region saw the growth.

Across the region, 1,278 homes sold in May, according to the Huntsville Area Association of Realtors (HAAR). The average sales price region-wide was $250,000, and the average time on the market was 49 days.

In May 2019, by comparison, 762 homes sold in the area with an average sales price of $258,000 after an average of 54 days on the market.

Number of sales and price climbed in the Huntsville-Madison County market, Athens-Limestone County market, Marshall and Dekalb county market and the Etowah-Cherokee county market. Sales declined in the Morgan-Lawrence County market and the Jackson County market.

“May 2020’s statistics show that our local industry continues to avoid any downturn related to COVID-19 and social distancing. This is due to the unique state of our local market and economy, as well as widespread use by REALTORS® of tools like virtual open houses, remote notarizations and more,” the association said.

https://www.al.com/news/huntsville/2020/06/north-alabama-home-market-avoids-covid-19-slump-in-may.html?fbclid=IwAR0yg8NvthOXDaMeHdkbae6ikQRiGHzyh-gMD9sr7co-BH9udoJsbzO8zr8

North Alabama’s housing market grew in in May, avoiding a COVID-19 slump as sales agents move toward the prime summer home market. But not every county in the region saw the growth.

Across the region, 1,278 homes sold in May, according to the Huntsville Area Association of Realtors (HAAR). The average sales price region-wide was $250,000, and the average time on the market was 49 days.

In May 2019, by comparison, 762 homes sold in the area with an average sales price of $258,000 after an average of 54 days on the market.

Number of sales and price climbed in the Huntsville-Madison County market, Athens-Limestone County market, Marshall and Dekalb county market and the Etowah-Cherokee county market. Sales declined in the Morgan-Lawrence County market and the Jackson County market.

“May 2020’s statistics show that our local industry continues to avoid any downturn related to COVID-19 and social distancing. This is due to the unique state of our local market and economy, as well as widespread use by REALTORS® of tools like virtual open houses, remote notarizations and more,” the association said.

Interesting article.    And supports my evaluations also.  

Decline in sales in urban areas and condominiums

· Social distancing measures have also resulted in a lower share of buyers who purchased property in urban areas. Based on the April 2020 survey of Realtors®, the share of homes sold in the urban area or central city dropped to 15% from 22% in February 2020. This survey data is supported by the April 2020 data on existing home sales that showed a steeper drop in condominium sales compared to single-family homes. In April 2020, condominium sales on a seasonally adjusted basis fell to 390,000 units, a 26.4% decline compared to the prior month. Single-family detached homes fell to a seasonally adjusted annual rate of 3.94 million, a 16.9% decline.

· At this early stage, the decline in sales in urban areas is related to social distancing measures and office/government shutdowns. Over time, the rising share of suburban home sales (if it happens) will reflect not only the effect of social distancing measures but the increasing number of millennials who will be purchasing property in the suburban areas as they get married and start to have children.

Have you checked out the really diversified Huntsville/Madison/Athens Alabama market???

Sure ...one if my clients told me yesterday that I have created a unique investment strategy that works. And will be very successful!    I would love to talk and explore how we can work together.   Do you have my co tact information.

I wanted to share this article because it was interesting, informative, and encouraging enough to share with my fellow Bigger Pockets members. This article reflects the rebound and upward momentum in the real estate market. I believe Huntsville will rebound quicker and stronger than other areas in the nation due to the economic growth that we have continued to see.

https://rismedia.com/2020/04/23/big-rebound-in-showing-activity-underway-in-most-states-affirming-an-underlying-demand-from-prospective-buyers/?utm_source=newsletter&utm_medium=email&utm_campaign=eNews

As a Realtor/Property Manager I can not emphasize enough the value in doing your due diligence when purchasing a property out of state. I personally receive calls from investors who have made purchases or who are about to make purchases on properties that are less than desirable. Photos found online can be manipulated and very misleading. What looks great in photos is not always an accurate portrayal of the property. Ask the Realtor to do a FaceTime walk thru. Some clients have been led to believe the potential rental rate is actually higher than what the market can bear. Ask for rental/purchase comps. It is so important to do your research. Check out the job market, schools, amenities, etcetera. Get an inspection! Just keep in mind an inspection does not eliminate the risk for future costly repairs. It should be used to identify red flags/things that should be further inspected for example HVAC.  You do not want to end up with a money pit. I feel compelled to write this because we are all in this together and I do not like to see any investor taken advantage of. Don’t be afraid to ask for recommendations. I personally do not mind when asked this question and no one else should either. It is important for the investor/realtor/property manager to have a relationship built on trust. 

Thank you so much James. We have loved working with you and Rebecca. It was so exciting to close on the house 3/24/20 and have tenants move in 4/1/2020. 

David I’m available any time to discuss your questions.