Daphne, AL

A year after the 2008 financial meltdown, let's take stock of the correction in home prices on the Eastern Shore.

■ The number of homes sold in the 3rd quarter of 2009 was only 6% behind home sales in the 3rd quarter of 2008.

■ Average sales price this past quarter was $243,176 - 19% lower than the average sales price of $298,947 a year ago.

The first statistic shows that the market is stabilizing in one respect.

A year ago, home sales between Spanish Fort and Point Clear fell off a cliff. Last summer 128 homes sold in June and another 135 in July. Then came August 2008 with only 84 sales, a 40 percent drop in the number of homes sold.

That we are only 6% behind the third quarter of 2008 demonstrates the difficult and momentous shift in attitudes toward home prices. Because home sales involve so many people - lenders, insurers, builders and their suppliers, tradesmen, Realtors, home inspectors, appraisers, movers, furnishers, etc. - they are essential to stable economy, despite the falling prices.

Locally, home prices continue to decline. Nationally, the rate of decline slowed for a sixth straight month, according to the S&P/Case Shiller 20-city home price index. Looking at these 20 major metro markets, the index noted a better-than-expected 13.3% decline compared to a year ago. David M. Blitzer, chairman of the index committee at Standard & Poor's, said: "These figures continue to support an indication of stabilization in national real estate values."

On the Eastern Shore, 569 price reductions were made on homes in the 3rd quarter; there are 1,209 properties listed.

On to the stats:

Overall, the pace of sales continues to improve, from 157 sales in the 1st quarter, to 207 in the 2nd quarter to 248 in the 3rd quarter, including 29 foreclosures or short sales (pre-foreclosures). The average time it took to sell was 179 days, a figured skewed by the fact that many properties had already gone through a previous listing.

Fairhope/Point Clear: 78 homes sold, compared with 98 a year ago this time and 70 during the 2nd quarter 2009. Average sales price was $300,699, down from $359,262 a year ago and but up from $284,033 in the 2nd quarter. (The sales of three homes over $1.7 million helped boost this quarter's average.) Average time it took to sell: 202 days. There are 562 houses on the market here.

Daphne/Montrose: 107 homes sold compared with 105 sales a year ago, and up from 73 sales the 2nd quarter. Average price was $231,746, down from $289,832 a year ago and $243,600 in the 2nd quarter. Average days on market: 167. There are 373 homes for sale.

Lake Forest: 28 homes sold, exactly the same as a year ago and up slightly from the 25 that sold in the 2nd quarter. Average sales price was $150,107, compared to $153,965 a year ago and $145,680 in the 2nd quarter. Average days on market: 137. There are 134 homes for sale here.

Spanish Fort: 36 homes sold, compared with 34 a year ago and 39 in the 2nd quarter. Average price was $224,392 vs. $272,853 a year ago and $255,977 in the 2nd quarter. Market time averaged 178 days. There are 140 homes for sale.

Home sales in the Eastern Shore of the Mobile, Alabama, metro area improved ever so slightly in September, with 87 sales, compared to 82 sales in August.

Pending sales dropped from 158 during the first week of September to 128 during the first week of October in Spanish Fort, Daphne and Fairhope/Point Clear. In typical years - and this is not a typical year - home sales slow during the back-to-school season and pick up again in late October. Whether there will be a last minute rush of buyers trying to qualify for the $8,000 first-time home buyer tax credit that expires Nov. 30, is anybody's guess.

Here are the stats for the Eastern Shore:
Total houses for sale: 1,211
Spanish Fort: 139
Daphne: 375
Fairhope: 569
Lake Forest: 123

Pending sales
Total: 128
Spanish Fort: 19
Daphne: 60
Fairhope: 35
Lake Forest: 14


Closed sales for September 2009
Total: 87
Average sales price: $233,867, down from $263,997 in August.
Median sales price: $184,900, down from $187,450 in July
List to sale percentage: 96.19%
Spanish Fort: 13
Daphne: 46
Fairhope: 21
Lake Forest: 7

(Data from the Baldwin County Multiple Listing Service)

A year ago, home sales on the Eastern Shore fell off a cliff. Then they tumbled even further, apparently hitting bottom in the early spring.

But that month - August 2008 - showed a breath-taking 40 percent decline in the number of houses sold between Spanish Fort and Point Clear on the Eastern Shore the Mobile Metro area. To demonstrate: 128 homes sold in June 2008 and another 135 sold in July. Then came August, 2008, with only 84 sales.

Even with anemic sales, the average sales price was $303,576 and the median was $249,250.

Now, a year later, the average sales price was $263,997 and the median was $187,450, a reflection of the extreme correction in housing prices, as well as what type of house is selling.

But a year ago, only a little more than a hundred houses were under contract. Now, 158 are in the process of closing, a 34 percent increase over the year, and certainly a hopeful sign.

Total sales are virtually unchanged from a year ago with 82 closed last month.

Still, more than 200 price adjustments were made by homeowners last month.

Foreclosures and short sales (distressed homeowners who owe more than their houses are now worth) represent 4% of listed properties, yet they are 15% of August ‘09 sales and 10% of houses under contract. The lure of a possible deal is as strong as ever, putting price pressure on everyone who is trying to sell.

Here are the stats for the Eastern Shore in August, 2009:
Total houses for sale: 1,195
Spanish Fort: 137
Daphne: 366
Fairhope: 569
Lake Forest: 123

Pending sales
Total: 158
Spanish Fort: 26
Daphne: 75
Fairhope: 41
Lake Forest: 16


Closed sales for August 2009
Total: 82
Average sales price: $263,997, up from $262,616 in July.
Median sales price: $187,450, down from $204,500 in July
List to sale percentage: 96.56%
Spanish Fort: 11
Daphne: 38
Fairhope: 23
Lake Forest: 10

(Data from the Baldwin County Multiple Listing Service)

I know the power of prayer and I know the power of Active Rain. I know the power of meditation and I know the power of Active Rain. With this in mind, I am beseeching each and everyone one of you who is willing, to join this group in praying for a lovely young lady from Daphne, Alabama, who needs our prayers. I don't know her personally, but I have just found out about this, and if ever there was a need, there is one now.

You can join this group, or just visit to read Katie's story. Katie's story began in late May, and now this devastating illness, ARDS, (which I had never heard of before) drug Katie and her family into a battle for her life.

Please join me, and all the others who have joined in, in lifting this family, Katie, her physicians and nurses up, with prayers, meditations, good thoughts and love for strength, peace, patience and healing. Their battle is ongoing, and there have been milestones passed, and baby steps taken.

If I know anything about Active Rain, I know the power of strength and love that flows from here.

"The Woodlands At Malbis" is located along the east side of Alabama State Highway 181, a few miles south of U. S. Interstate Highway 10 and also south of U. S. Highway 90. The Malbis Regional Shopping Center is located on the northern side of U. S. Highway 10 and only minutes from this subdivision.

"The Woodlands of Malbis" has 35 lots and eight common area parcels according to online records. This subdivision is described as "a fantastic tree-lined upscale neighborhood with lakes and estate-sized lots."

The Baldwin County Association of REALTORS' online records indicate 4 active listings ranging from $494,900 to $1,900,000 with 3,258 to 5,740 square feet and 9 past sold properties selling between $550,000 and $840,000 with 4,296 to 4,939 square feet .

For further information, contact Barbara S. Reeves at 251-510-0629, 251-621-2588 or toll free direct by calling 888-489-8001.

For more information about Certified Residential Real Property Appraisers and Approved FHA Appraisers, contact Albert Marshall Cheney with Cheney Appraisal Services at 251-533-2424. Albert Cheney covers Daphne, Fairhope, Loxley, Malbis, Montrose, Point Clear, Robertsdale, Spanish Fort and many other communities and towns within Baldwin County, Alabama. Al Cheney suggests clicking onto these web site links, http://www.CheneyAppraisalServices.com & http://www.MobileAlabamaFHARealEstateAppraisers.com for much more information!