New Blog Home

As of December 29th, 2008, we’ve gone to a new home for our BLOG.

Click here to go to the new BLOG; that’s all you need to do.

Thanks!

David and Colleen Black

Is The Birmingham ‘Buyer’s Market’ Shifting?

Could the “Buyer’s Market” in the Birmingham and Shelby county area be starting to shift toward becoming more balanced? That might be happening, based on November 2008 home sales statistics released by the Birmingham Association of Realtors.

The number of homes for sale in November 2008 stood at 10,994, which is about 15% below one year earlier.

November, 2008 sales totaled 603, which is down about 49% from November, 2007. November 2008 sales prices in the Birmingham and Shelby county markets dropped about 7% from a year earlier. For year-to-date, the average price is about 4.5% behind 2007, according to BAR.

The average number of days for a home to stay on the market in November, 2008, stood at 92, compared to 103 for the same month a year earlier (this figure excludes new home sales).

When you watch TV and read the headlines, you’ll no doubt see that 49% sales drop prominently mentioned. So, is all the news bad? We think several of the market indications in central Alabama are actually positive, believe it or not, and there are continuing indications that other real estate markets in the country are becoming more balanced, too.

First, there are not quite as many homes for sale as there have been, and that’s a good thing for people thinking of selling. Buyers, meanwhile, still have boatloads of choices, so it’s certainly not as if their selections are drying up. Second, the seven percent drop in prices helps show something we’ve mentioned before about the Birmingham and Shelby county housing market: Fluctuations in values here do not swing as wildly, and to such extremes as they do in many other cities. So, while values have plunged much farther in some other real estate markets, our area has remained a lot more stable.

We received a message from a lender this week, advising that interest rates on 30-year fixed loans some buyers will be eligible to get have now fallen to 5.0%, and 15-year fixed loans have now fallen to below 5%. All I can say is ‘wow,’ the close of 2008 and start of 2009 have to go down in the record books as one of the best times to buy a home in Birmingham and Shelby county in years.

Clearly, the negative economic news saturating the media has caused some buyers to hold off, despite some of the most attractive pricing and interest rates ever. But indications are starting to suggest that continuing to wait before buying may be getting riskier. Why? Nationally, home sales are starting to pick up, while inventory is declining. That means investors and others are jumping on the really good deals, so others may miss out if they wait too long. You can get a very interesting perspective on where real estate markets appear to be heading, by clicking below to watch the November, 2008, housing report, produced by Keller Williams Realty:

‘Tis the season to buy!

David

Having Fun, Helping Others in Shelby County

Wow, can people involved in real estate be a fun bunch! The best part is when you can do something fun and help people in need at the same time, which is what happened the morning of November 19th in Pelham.

The Oak Mountain Realty Network—a group of Shelby county area real estate agents and associates in related fields—held its annual Christmas Auction at The Margarita Grill on Highway 119.

Lots of folks helped raise money for SafeHouse and Family Connection, Inc. Special thanks to RE/MAX Advantage agent Robert Scott, who was a great auctioneer. This was a team effort with many different folks helping out, including agents, attorneys, lenders, home inspectors, insurance providers and other associates.

What makes this even better, according to Carmell Cantrell, a Loan Officer with First Federal Mortgage, is that—for every dollar raised during the auction—the state of Alabama will kick in a matching amount.

Some scenes likely won’t be forgotten soon—who would have ever imagined seeing John Holliman, an attorney with Holliman & Shockley in Pelham, showing off men’s holiday underwear?

Check out the fun below — click on any of the pictures for a larger version, too:

David

Homes For Sale in Birmingham & Shelby County

Here’s a look at how many homes are currently for sale in:

Alabaster – 389
Altadena/Cahaba Heights – 50
Calera – 297
Clanton – 179
Columbiana – 52
Chelsea – 255
Helena – 269
Hoover – 982
Indian Spring – 32
Inverness – 56
Liberty Park/Vestavia – 452
Meadow Brook – 13
Montevallo – 100
Pelham – 333
Vincent – 27

Source: Birmingham Area Multiple Listing Service

David

Metro South: Shelby County’s New Key Real Estate Team

Phil Taylor says it best: “We choose not to participate.” Taylor is referring to the general climate of economic doom so prevalent right now. But those aren’t hollow words.

Taylor and 39 other Shelby County area real estate agents officially began backing up their words with actions shortly after 9 a.m. Friday, November 14th. That’s when the ribbon was cut on Metro South, Keller Williams’ fifth office in the Birmingham area, and the first real estate office in Alabaster.

Instead of dwelling on negatives, members of the Metro South team maintain a decidedly upbeat outlook on the Birmingham and Shelby county real estate market. They know that real estate is cyclical, and that the future looks promising.

You can listen to some of these agents for yourself, by watching a short video from the ribbon cutting ceremony:

By the way … to back up what the Metro South agents say, if you want to hear someone very knowledgeable discuss what’s happening in the real estate market, we had a great interview with Dave Jenks, one of the top people in Keller Williams Realty, last month–if you missed our interview with Dave, you can click here to listen.

Talk with any of the Metro South agents about the Shelby Co. real estate market, and you might hear a few surprises. Houses are still selling. Lenders are still lending. And buyers are still buying. While the Birmingham and Shelby Co. real estate market is experiencing a slowdown, it’s nothing near the scale many people have been led to believe.

While the Metro South office may be ‘brand spankin’ new,’ some of the people involved are long time Birmingham area agents with many years experience, giving them a superior knowledge of housing inventory and availability, neighborhoods, pricing trends, quality of life and the market in general.

Come by and say hello. Kathy Wheeler is Metro South’s Team Leader. The office is located a few doors south of the movie theater in the Colonial Promenade Shopping Center, off I-65 at exit #238. Click here for a Google map.

Many thanks to Alabaster Mayor David Frings, Alabaster Industrial Development Director and State Rep. Cam Ward and State Sen. Hank Erwin for taking time out to join us for the ceremony. Also attending was Keller Williams Operating Partner Elizabeth Raines, one of the driving forces behind turning the Metro South dream into reality.

So why would all these agents take a chance? Why would they make the commitment to gather under one roof and serve the Alabaster and Shelby County real estate market at a time when there’s so much negativity and pessimism all around?

The answer lies within the people themselves. They are professional. They are confident. They are optimistic. It says a lot, I believe, about the people themselves. It’s one of the reasons Colleen and I are proud to be a part of the new Metro South team–you know, the one that chooses not to participate.

David

Alabaster, Alabama Home Sales – October 2008

Here’s a look at home sales in the Alabaster, Maylene and Saginaw areas of Shelby county during October, 2008 (source: Birmingham Area Multiple Listing Service):

Total sales during month: 32

Average SOLD price: $158,525

Average LISTED price: $165,351

Average percent of list price: 95.24%

Average Days on market: 108

Highest price sale: $494,900 (new, custom, 4/3 brick home in Sterling Gate)

As of 11/11/2008, 443 homes were listed for sale in the Alabaster, Maylene and Saginaw areas, and among those were some awesome deals for buyers (one seller cut $20,000 off the price of a one-year old brick four bedroom cul-de-sac home).

Thirty year fixed and fifteen year fixed rate loans continue to be available at well under six percent for many buyers…

David

Helena, Alabama, Home Sales – October, 2008

Are you a numbers fan? If so, here are a few statistics on October, 2008, home sales in Helena (both Jefferson and Shelby counties), taken from the Birmingham MLS that you may find interesting:

Are homes selling? Yep. In Helena, nine homes sold within 30 days during October...

Number of sales during month:  27

Average price: $192,501

Average days on market: 85

Miscellaneous notes:

Lowest price:  $13,000 (38-year-old mobile home on Highway 93)

Highest price:  $350,000 (New four bedroom home in Long Leaf Lake, reduced from $389,900)

Two of the month’s sales were foreclosures, both in Laurel Woods, for $127,100 (on the market for 70 days), and for $120,000 (on the market for 109 days).

22 of the 27 properties sold for 95% of their list price or higher

Fifteen homes sold in 90 days or less

Eleven homes sold in 60 days or less

Nine homes sold in 30 days or less

Longest time on market: 270 days

We plan to publish updates like this from time to time, so you’ll have a snapshot of what’s happening with the real estate market in the Birmingham and Shelby county, Alabama areas. Let us know what you think!

David

Birmingham/Shelby County Home Sales Update

Birmingham and Shelby county offer a large inventory of homes, like this house on a lake in Chelsea.

Just how many choices do you have when it comes to finding a home in the Birmingham and Shelby county, Alabama area? The answer is: A lot!

Here’s a look at the number of homes for sale in a few different parts of Shelby and Jefferson counties, as of October 24, 2008, from the Birmingham Area Multiple Listing Service:

By City:

Alabaster: 391
Calera: 264
Chelsea: 244
Helena: 267
Hoover: 990
Montevallo: 96
Pelham: 339
Vestavia: 331

By Neighborhood:

Old Cahaba (Helena): 43
Ballantrae (Pelham): 65
Riverchase (Hoover): 50
Wild Timber (Pelham): 7
Savannah Pointe (Calera): 31
Saddle Lake Farms (Alabaster): 9
Stonehaven (Pelham): 20

Needless to say, the numbers certainly show that you’ve got a lot of choices if you’re thinking of buying a home in the Birmingham or Shelby county area. Whatever the style, whatever the price you want to pay and whatever the neighborhood you’d like to be in, there are options aplenty. Let us know if we can help…

David

Bama Barkery: Healthy Treats For Alabama Dogs

Michael and Johnna Mathews felt Gracie and Sister Sue, their two black labrador mixes, deserved better treats than they could find in stores around Birmingham and Shelby county.   So, armed with cookie sheets, rolling pin and oven, the McCalla couple decided to try their hand at creating canine treats that are healthy as well as tasty.

Michael and Johnna Matthews (Photo by Alisha Bamberg)

Their efforts led to the April, 2007, birth of Bama Barkery, a business that provides wholesome, homemade treats for dogs.  And yep, you can take a bite out of a Pumpkin Paw or any of Bama Barkery’s other treats yourself, because all are made with ingredients safe for human consumption.

We caught up with Michael and Johnna during Bark In The Park, a fun event for pet owners held in Alabaster’s Veterans Park October 3rd.  Michael shares with us the tale (or should it be tail?!) of how Bama Barkery turned in to a lot more than just treats for Gracie and Sister Sue (who, by the way, are official taste testers for the company).  Click the play button just below to listen:

Michael greets visitors interested in Bama Barkery Pumpkin Paws

Right now, you can order Bama Barkery products on line, but who knows … it may not be long before you see PB & O’s, Love Me Slenders or some of their other treats in area stores, too.  And in case you’re wondering, Fisbo, our five pound spoiled rotten poodle, has given his stamp of approval to Bama Barkery’s treats!

David

Dave Jenks: Why Now Is The Time To Buy or Invest

Let’s face it.  You hear Realtors talking all the time about why now is a good time to buy a home.  But with all the uncertain economic news we’re hearing these days, is that just optimistic talk designed to drum up business?  Or are there some solid reasons that support buying and investing right now?

Dave Jenks is a best selling co-author and Vice President with Keller Williams Realty.

Ask Dave Jenks, and he’ll tell you why buying now represents such a good opportunity.  Dave is someone definitely worth listening to.  He’s Vice President of Research and Development with Keller Williams Realty and has co-authored several best selling books, including The Millionaire Real Estate Investor.

Dave’s research clearly suggests that real estate markets across the country are correcting from so-called ‘false appreciation’ … this means that prices are returning to pre-”bubble” levels.  This, among other reasons, should give buyers confidence, Jenks says.

The domestic real estate market is undergoing some interesting—and, many think, positive—changes right now, as we wind down 2008.  We caught up with Dave to get his assessment of how markets around the country have performed during the past decade, as well as what’s occurring now.

Check out Dave’s comments in our latest Netcast by clicking the play button just below:

If you prefer to download and listen to our netcast later, click here.

We hope you enjoy!

David