It can be very confusing these days to filter through all the news about the housing market. The sensationalist national headlines may sell advertising but are often wrong or misleading for Metro Atlanta or your local market. To further complicate matters, the typical metrics used to track real estate trends do not tell the accurate story in the current market.
- Did you know that over 50% of all transactions in 2011 have been under $125,000? That has historically been around 10-15% of the market.
- Did you know that approximately 60% of all transactions are foreclosures or short sales? That is also normally 10-15% of the market.
- Did you know that many bank-owned properties are selling above their list prices?
These changing trends make the traditional metrics for real estate unreliable. Ratios like average sale prices, median sale prices or list-to-sale ratios can be very misleading. One metric we like to track is the “previous sold price” to “current sold price” ratio. We believe that is a more accurate approach to considering home values. This is the method used by the Case-Shiller Index. Each month, we write a detailed article which explains the latest Case-Shiller results for metro Atlanta.
The Case-Shiller index is a good indicator for Metro Atlanta home values. But real estate is local and every market is different. I have access to proprietary information resources and can help you determine the most accurate value for your property.