Greater Metro Atlanta Real Estate Update

  • Click here for a detailed market report for the Greater Metro Atlanta area. BHHS Georgia Properties was Number 1 in both homes sold and buyers represented. We have been ranked #1 for 5 years in a row!

 

  • Closings for Metro Atlanta in July were down 14.4% compared to last month and down 15% compared to the previous year.
  • The Metro Atlanta market is currently running 2.5% behind 2013 in closed transactions and 8.5% ahead in sales volume.
  • It seems surprising to most that the market is down in units sales compared to last year. But there is more to that story…

 

  • Last year, we had a significant number of closings from large investors buying single family properties to put into their rental programs. This year those large investors have slowed their purchases considerably. The under $100,000 segment is 2597 units or 33% lower than the number of closings in 2013.
  • Equity Depot recently announced that “notices of default” for foreclosures had shrunk to a 12 year low in Metro Atlanta.
  • The combination of fewer investor deals and fewer foreclosures reflect drastically smaller numbers in the $100,000 and below segment of the market. Remember, those were unusual patterns. If you factor out those transactions, the market is up 7.5% versus last year in units.
  • The largest buying segment for Metro Atlanta is Baby Boomers/ Gen X. Thousands of these homeowners are moving to smarter living environments with less maintenance and others are moving toward homes that accommodate their health and lifestyles and they move into their senior years. First Time Buyers have slowed due to increasing prices, student loan debt and challenges with employment.

  • Listed inventory was up 1.4% from last month and up 23.7% compared to last year. Inventory is up 50% from the recent bottom of February 2013. But the limited availability of highly desirable properties in select markets is still driving multiple offers and very quick sales. Other areas have more normal conditions. Remember, real estate is local and markets are different.

  • The overall “months of supply” is 4.7 months versus 4.3 last month. Six months is considered a normal market.
  • But you can see that the numbers are very different depending on the price point and area. Contact us to learn more about your specific area.

How to Hire the Best Moving Company

Buying, renting, or selling a home can be a stressful process. Packing up your household is just one of the many tasks that can quickly become overwhelming when you move. Getting your belongings safely to their new home doesn’t have to be stressful. It just takes a little research to find a reliable and reputable company. Follow these great & informative tips from consumer reporter and guru Clark Howard on how to hire the best, most reputable and reliable moving company: http://www.clarkhoward.com/news/clark-howard/homes-real-estate/how-hire-best-moving-companies/nCQFT/

Home Values for Metro Atlanta

 

  • The Case-Shiller Index reports that Metro Atlanta home values have increased 40% from the bottom of March 2012. But values remain down 14% from the peak of July 2007.
  • As the chart shows, our home values are back on a more normal trend line after over-inflating and then over-correcting. These are common market cycles that work themselves back to a normal trend over time.
  • The long-term trend for mortgage rates is higher. The Mortgage Bankers Association and Freddie Mac predict 30-year mortgage rates to be over 5% in late 2014 and 2015. We still have exceptional mortgage rates. The average mortgage rates in the last 50 years was 8%. Act now before rates move higher!

This is an excellent opportunity to make your move while prices remain below replacement costs and financing costs are historically low. Contact us today to get started at info@petersenpartners.com