Homes Sold at Sheriff Sale Auctions and Through Other Channels Decline

by Peter Vernon on Foreclosures

Some areas of Alabama recorded a decline in total home sales in November 2010, including those offered at Sheriff Sale auctions. Most areas of the state posted fewer number of houses sold during the month when compared with last year, although majority also recorded higher sales numbers compared with the dismal record of October 2010.

Residential properties, including Montgomery foreclosures for sale, newly built homes in various local markets and other types of dwellings that were sold in the current year remain low when compared with 2009 figures. In Birmingham, the local Association of Realtors reported that total houses sold in November 2010 declined by 30% when compared with November 2009.

Alabama foreclosed homes and newly built houses purchased by buyers in November posted better numbers when compared with October 2010. The same is true with Birmingham where a total of 616 residential properties were sold in November, representing a 9% rise when compared with the previous month. One positive note is that prices of residences did improve in the area during November.

The average price of houses sold at Birmingham Sheriff Sale auctions and through other means was $178,808 during the month in focus. This represents an increase of 4% when compared with the same 2009 month. Median price, on the other hand, was pegged at $152,100 in November, representing a 5% rise compared with last year. When year-to-date median and average prices are considered, 2010 levels are almost the same as price levels in 2009.

Meanwhile, the inventory of for-sale residential properties, including bank foreclosed homes for sale and new housing units, rose by 2% in the area for the month. A total of 10,142 residences are available for sale in Birmingham for the month of November 2010. From January to November 2010, total housing units sold is 9% lower when compared with the same 11-month period of 2009.

Although November 2010 housing sales figures are worse compared with year-ago levels, the figure did show marked improvement when compared with October sales. Last month, residential properties sold, including properties offered at Sheriff Sale auctions, recorded a 40% decline compared with the same month of last year. Analysts stated that the huge yearly difference is mainly due to the inflated figures of 2009 caused by the tax credit program.

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