Even with colder than normal temperatures, including snow at one point, the January 2018 North Metro Atlanta Market Report indicated a busier than normal month. Sales and prices rose while inventory fell. Existing homes averaged less than two months throughout the entire North Metro Atlanta region. If demand continues to go up, inventory could be even harder to come by in the months ahead.
January 2018 North Metro Atlanta Home Sales
The First Multiple Listing Service reported a total of 2485 North Metro Atlanta single-family detached homes were sold in January 2018. That marked a 1.8% increase from January 2017's total sales. The average days a North Metro Atlanta home spent on the market dipped slightly from 56 in January 2017 to 54 last month.
January 2018 North Metro Atlanta Home Prices
More demand tends to push prices up. That could help account for the 5.9% bump in prices. Back in January 2017, the average sale price for a North Metro Atlanta home was $317,967. That increased to $336,770 in January 2018. Parts of Fulton County show the highest reported average at $1,101,738 (0.6% less than the $1,108,939 average in the same area last year). The list-price-to-sale-price ratio rose from 96.9% last year to 97.4% last month. That means buyers are paying closer to the list price than they did last January. In parts of Cherokee and Dekalb Counties, they pay at (Cherokee at 100%) or above (Dekalb at 101.9%) the list price on average.
January 2018 North Metro Atlanta Inventory
Inventory levels and existing inventory both declined between January 2017 and January 2018. Newly constructed homes dropped from 8.1 months available to 6.7 months. Meanwhile, existing inventory fell from 3.1 months last January to just 1.9 months in January 2018. Parts of Fulton County report as much as 14 months and as low as three months of new construction inventory available. Portions of Dekalb and Gwinnett County also show just three months of new construction inventory available. As far as existing inventory is concerned, one-third of the areas in the North Metro Atlanta region report one month or less available. One area in Fulton County reports the highest amount of existing inventory but even they show just five months available.
January 2018 North Metro Atlanta Market Report Summary
If the US economy continues its steady growth, financial experts believe the Federal Reserve may increase the Federal interest rate. Mortgage rates tend to follow shortly thereafter. Currently, Bankrate.com reports an average of 4.51% for a 30-year fixed-rate loan. Those rates have been steadily climbing since the beginning of this year. They could reach 5% or more by the end of 2018. So, if you're interested in purchasing a North Metro Atlanta home, you might want to start looking now before rates go up even more. When you're ready to begin your search, contact me.