I know it's summer, but do I detect a slight chill in the air? For the first time this year, North Metro Atlanta home sales actually decreased from the previous month. They were also lower than the same time last year. However, the July 2016 North Metro Atlanta Home Sales Report showed that the average price increased. Could this be due to inventory levels coming down? Possibly. Read on to find out more.
July 2016 North Metro Atlanta Home Sales
According to statistics reported by the First Multiple Listing Service (FMLS), a total of 4345 North Metro Atlanta homes were sold in July 2016. This represented a 2.7% decrease from last year. It was also a 5.9% drop from June 2016. Even so, year-to-date sales for single-family detached homes in the North Metro Atlanta Area outpace last year's figures by 6.8% (25,333 in July 2015 vs 27,051 in July 2016).
Even though sales decreased, prices went up. The July 2016 North Metro Atlanta Home Sales Report showed an average sale price of $334,291 last month. That's 9.4% higher than last year and just slightly higher than June 2016's $332,256 average sale price. The average days on market have decreased from 46 in July 2015 to 37 in July 2016.
How This Affects North Metro Atlanta Buyers
Inventory levels have come down over the last few years. July 2016 saw 6.6 months of new construction inventory on hand. Meanwhile, existing single-family homes have 3.4 months of inventory available. Low inventory and high demand typically means higher sale prices. Total sales for July 2016 cooled off a little from last year, but prices still went up. Interest rates remain low, with Bankrate.com reporting 3.4% for a 30 year fixed rate loan as of the writing of this post.
My best advice to anyone currently interested in purchasing a North Metro Atlanta home is to get the loan process started right away. This helps you decide on a budget for the price point you are comfortable with. Unless you pay all cash for a new home, you could be waiting for a few weeks to close. Contact your North Metro Atlanta REALTOR® if you have any questions or just want to start looking at properties.