Orange Beach, Ala. – (OBA) – While the Alabama coastal region remains a good investment, there has been a "cooling" of the local real estate market this season. Prices remain high while the number of "Closed Sales" has decreased by 36% compared to the same month in 2023.

Despite Baldwin County's popularity as a summer destination for short-term rentals, residential home sales have experienced a decline over the past month. According to the Baldwin REALTORS® Multiple Listing Service (MLS), there have been year-over-year decreases in Total Revenue, Total Closed Sales, and New Inventory for both the Traditional and Resort-based submarkets in June 2024. Last June, residential real estate sales generated over $380 million, but this year's total revenue has declined by nearly $70 million.

Traditional Residential properties experienced a 1.5% increase in Average Sales Price at $411,166. Properties stayed on market longer with an average of 58 days, which is 9 more days than the average a year ago. Continuing the trend seen over several months, Total Closed Sales decreased from the previous year’s number at 485 units sold (in comparison to 559 units sold in June 2023). Additionally, there was more than a 100-property decrease in New Inventory added within the month.

Resort/Island-based properties (residential units located within Orange Beach, Fort Morgan, and anything in Gulf Shores south of Canal Rd/180) saw an 18.9% increase from June 2023 in Average Sales Price, resulting in $806,576. Listings spent more time on market at an average of 87 days, compared to 67 days the year prior. A decrease was also reported in Total Closed Sales as 140 properties solid in June 2024, compared to 220 in June 2023. The new Inventory added in this area of the county last month was 88 less properties than the year before.