The North Metro Atlanta Market Report for 2018 showed that prices continued to rise, hitting a record average of $377,334 in July. While sales tapered off a little from 2017, inventory started to go up but fell off only slightly by the end of the year. How did the year fare overall? Read on to find out.
North Metro Atlanta Market Report - 2018 Year in Review
North Metro Atlanta Home Sales - 2018 Year in Review
According to the First Multiple Listing Service (FMLS), a total of 45,728 single-family detached homes were sold in the North Metro Atlanta real estate market throughout 2018. That marked a slight 0.6% dip from the 46,023 sold in 2017. 2018 home sales started out at their lowest point of the year in January (2485). After that, they continually increased month after month through May, where they hit their highest point for the entire year (4912). Then, they steadily decreased, with the exception of a small gain in October. 2018 ended with a total of 3104 total sales in December.
North Metro Atlanta Home Prices - 2018 Year in Review
Unlike sales, prices rose significantly. For the seventh year in a row, year-over-year sale prices increased. For 2018, the average sale price came in at $358,293, a 6.1% increase from 2017's $337,618. The year started off with an average sale price of $336,770. It fell off slightly in February, but then picked up steam in March. In July, it hit its peak of $377,334. For the next three months, prices decreased. After a bump in October, the year ended with an average of $362,012 in December.
North Metro Atlanta Inventory - 2018 Year in Review
The year started off with 6.7 months of new construction available and just 1.9 months of existing North Metro Atlanta home inventory. New construction hit its peak with 9.7 months available in April. But then it dropped significantly to just 6.7 months in May. By July, it seemed to settle in at just above seven months before dropping to 6.5 months in December. Areas of Rockdale County showed 16 months available while parts of Fulton, Dekalb, and Cobb Counties only reported three months of new construction available.
Existing North Metro Atlanta home inventory rose over the last 12 months. The year started out with just 1.9 months available. It hit its peak in June with 2.9 months. After a very small dip in July, it again hit 2.9 months in August and September. Finally, the year finished off with 2.5 months of existing inventory available. While parts of Fulton County showed as much as five months available, areas of Cobb County only reported one month of existing inventory available.
What North Metro Atlanta Home Buyers Might Expect to See in 2018
The Federal Reserve felt the economy was strong enough to implement a total of four interest rate increases throughout 2018. In December, their final hike put the benchmark at 2.25-2.5%. While this may be the last one for a little while, we might see more happening in the months to come. Unfortunately, that means credit card users and adjustable-rate mortgage holders got hit the hardest. When the Fed raises rates, so do lenders. Home equity lines of credit rates also went up. When purchasing a North Metro Atlanta home this year, you might want to consider choosing a fixed-rate mortgage instead of an adjustable one. The rates stay the same for the life of the loan. When you're ready to start looking for a new property or want to sell your current home, contact your North Metro Atlanta REALTOR®.