Area home sales down for third consecutive month

August data about homes sales in the Fort Smith region shows continued downward pressure on the housing market — possibly a reflection of the relatively high metro unemployment numbers.

There were 1,266 homes sold in Crawford, Franklin and Sebastian counties during the first eight months of 2009, a decline of 14.8% over the same period in 2008, according to Thursday’s (Oct. 15) report from the Arkansas Realtors Association.

The eight-month percentage decline marks the second consecutive month of year-over-year decline in the number of homes sold in the area. The trend is best noted in this comparison of homes sold in Crawford, Franklin and Sebastian counties during the respective periods.
Jan.-Aug. 2009: compared to the same period in 2008: -14.8%
Jan.-July 2009 compared to the same period in 2008: -14.3%
Jan.-June 2009 compared to the same period in 2008: -13.37%
Jan.-May 2009 compared to the same period in 2008: -11.6%
Jan.-Apr. 2009 compared to the same period in 2008: -13.1%
Jan.-Mar. 2009 compared to the same period in 2008: -22%

During the January to August period, Crawford County home sales (383) declined 14.3% compared to the same period in 2008; Franklin County home sales (44) were down 13.7%; and Sebastian County home sales (839) were down 15.1%.

The combined value of the homes sold in the first eight months of 2009 in the three regional counties was $154.27 million, down 18.8% from the $189.99 million value recorded during the same period in 2008. Sebastian County has recorded $105.81 million in home sales in the first eight months of 2009, down 18.4% from the same period in 2008.

The numbers also show a continued decline in the average price of homes being sold in the region. Between January and August, the average price of new and existing homes sold in Crawford County declined 4.9% ($119,013 in August 2009); down 22.3% in Franklin County ($65,363); and down 3.8% in Sebastian County ($126,121).

Unemployment rates in the Fort Smith metro area have hovered above 7% since January, with the August rate moderating back to 7.1%.

On the statewide level, August followed a July that posted the first month-over-month increase in home sales since December 2005. There were 2,223 homes sold during August, down 8.93% from August 2008. For the year, homes sold statewide total 16,069, down 10.87% from the same period in 2008. The value of homes sold statewide during the first eight months of 2009 is $2.33 billion, down 13.88% from the same period in 2008.

“It’s worth mentioning that the August report doesn’t alarm us too much. Why? Because we’ve seen steady improvement in sales for six months and that is encouraging. A one-month drop — we hope — is more of an anomaly than anything else,” noted an ARA statement issued with the August report.

REAL ESTATE STATS
• Number of homes sold
Crawford County
Jan.-Aug. 2009: 383
Jan.-Aug. 2008: 447

Franklin County
Jan.-Aug. 2009: 44
Jan.-Aug. 2008: 51

Sebastian County
Jan.-Aug. 2009: 839
Jan.-Aug. 2008: 989

• Value of homes sold
Crawford County
Jan.-Aug. 2009: $45.58 million
Jan.-Aug. 2008: $55.95 million

Franklin County
Jan.-Aug. 2009: $2.87 million
Jan.-Aug. 2008: $4.29 million

Sebastian County
Jan.-Aug. 2009: $105.81 million
Jan.-Aug. 2008: $129.75 million

• Average price of homes sold
Crawford County
Jan.-Aug. 2009: $119,013
Jan.-Aug. 2008: $125,179

Franklin County
Jan.-Aug. 2009: $65,363
Jan.-Aug. 2008: $82,066

Sebastian County
Jan.-Aug. 2009: $126,121
Jan.-Aug. 2008: $131,195

The top five Arkansas counties in terms of number of homes sold Jan.-Aug. 2009 are:
Pulaski County (2,852, down 11.26% from the same period in 2008)
Benton County (2,280, down 2.81% from the same period in 2008)
Washington County (1,392, down 3.8% from the same period in 2008)
Saline County (936, down 7.78% from the same period in 2008)
Faulkner County (863, down 9.25% from the same period in 2008)