Prudential Georgia Realty Real Estate Advisor September 2013
We are providing this monthly real estate advisor report to keep you informed about the latest trends and issues in the real estate market. If you know someone else who might be interested in receiving this report or who may benefit from our expertise, please let us know. Better information helps our clients make better real estate decisions!
Greater Metro Atlanta Real Estate Update
For the Greater Metro Atlanta area, listed inventory is up 22% from the lowest point in February 2013. But inventory remains down 13% compared to 2012 levels and down 45% from 2011. The limited availability of quality properties with reasonable value has turned many local areas into a seller’s market.
The available “months of supply” is 3.5 months based upon closed sales (6 months is considered normal).
There is a feeding frenzy for desirable properties where multiple offers are becoming the norm. Buyer demand is very strong and pendings are running ahead of last year. But actual closed transactions are down 1.5% year-to-date when compared to 2012. That means the fallout rates are higher than normal.
The big change last month was that sales under $100,000 dropped dramatically. Two years ago, over 50% of properties sold were in this price range. That percentage dropped to 15% which is back to more normal levels.
The pace of short sales and foreclosures coming on the market has slowed considerably. In 2010, over 60% of sales were distressed properties but that is now down to 35%. Resales are the larger mix of sales.
New Homes are making a slow but sure comeback. New home closings are up 55%. There are some wonderful new home communities coming online with the latest innovations in smart building that may be great options for buyers. Click here to view new home communities.
Appraisals can be a problem. In areas where prices are rising, the appraiser may not be considering the latest comps or may not be able to use some comps that were done as private transactions. We can help provide information to the appraiser in the right formats that give you the best chance to get the highest value.
Click Here for a detailed set of slides that show the National Market, the Metro Atlanta Market, The New Homes Market and how our company is performing. There is a reason we are ranked #1 in Metro Atlanta.
This is an unprecedented opportunity to buy the home of your dreams while prices and financing are historically low. But these conditions will not last as the real estate market continues to recover.
The America Dream of Homeownership Is Back
From building equity to tax breaks—and even living a happier and healthier life—the perks of owning a home are numerous. And thanks to low mortgage rates and affordable housing prices, the American Dream of Homeownership is very attainable.
Aside from simply wanting a great space to call your own, there are many reasons to buy a home today. The real estate market is recovering. Now is the time to shop around for a mortgage and take advantage of the low prices while you can. If you put off buying a home for a year or two, it could cost you tens of thousands of dollars in the long run.
According to the National Association of REALTORS®, the number of U.S. households is expected to rise 15 percent over the next decade, creating continued high demand for housing. You’ll have a better chance to find your dream house if you act sooner rather than later.
In addition, owning your own home means building equity and creating a stronger net-worth. Plus, in most cases, the longer you own a home, the more value it will have. You can do what you want with your own property. Owning a home will also do wonders come tax season. Be sure to talk with your accountant about the tax breaks available to homeowners, such as deducting interest on your mortgage and getting deductions for energy-saving upgrades. Studies have shown that those who own their own home live a happier and healthier lifestyle. Children of homeowners are more likely to graduate high school. Plus, the neighbors you meet are more likely to become permanent friends.
There are many perks of owning a home and now is a great time to jump into the market. If you’ve been questioning whether or not it’s time to get off the sidelines, contact us to learn more about the opportunities.
If someone you know is interested in buying, we can help them act quickly before rising mortgage rates and increasing home values price their dream home out of reach!
Happy Labor Day 2013!
Labor Day is Monday September 2nd. Together, we will celebrate the contributions of workers across America. Labor Day has also become the symbolic end of the summer season - although summer officially ends on September 21st. In high society, Labor Day is the last day of the year when it is fashionable to wear white or seersucker.
There is some debate over who first proposed the celebration of Labor Day back in 1882. Some believe it was a gentleman named Matthew Maguire who was serving as the secretary of the Central Labor Union of New York. Others believe it was Peter McGuire of the American Federation of Labor who had seen a similar celebration in Canada. Regardless of which Maguire/ McGuire, we are all happy this popular federal holiday now exists.
So enjoy your time off and take a moment to be thankful for your fellow workers and your employers. There are many people in our nation who remain unemployed or under-employed. Please keep them in your thoughts and prayers.
Labor Day is also the unofficial start of football season! High school, college and NFL teams will be underway. Have a great Labor Day weekend and may your favorite teams play well.
Cooler Weather Is Just Around The Corner! If You Know Someone Who Can Benefit From This Information Or Our Real Estate Expertise, We Would Love To Help Them.