According to the May 2019 North Metro Atlanta Market Report, sales continue their upward trajectory. This is a continuing trend for each month of this calendar year. Prices also increased for the fifth month this year. Meanwhile, inventory levels for both new and existing homes rose as well, giving buyers more options to choose from.
May 2019 North Metro Atlanta Market Report
North Metro Atlanta Market Report - May 2019 Sales
The First Multiple Listing Service (FMLS) reported a total of 4953 homes were sold in the North Metro Atlanta real estate market in May 2019. That marks a 1% increase from the 4912 sold in May 2018. This makes the fifth month this year that sales increased. The average days a single-family detached home stayed on the market before going under contract rose 23.7%, from 33 in May 2018 to 41 last month. That's just one day less than April 2019.
North Metro Atlanta Market Report - May 2019 Prices
Just like total sales, the average sale price rose for the fifth month in a row this year. In May 2018, buyers paid an average of $370,626. Last month, that average grew by 2.4% to $379,641, the highest so far this year. Some parts in Fulton County sold for an average of $1,238,117. The list price to sale price ratio experienced a slight uptick (from 98.2% last year to 98.3% last month). Buyers in certain areas of Cherokee, Cobb, Dekalb, Gwinnett, and Rockdale paid 99% of the list price or higher in order to close a deal in their communities.
North Metro Atlanta Market Report - May 2019 Inventory
Both new construction and existing homes saw an increase in inventory. In May of last year, new construction inventory sat at 6.7 months. Last month, that rose by 9% to 7.3 months of inventory on hand. Parts of Gwinnett County reported as high as 21 months of availability. Meanwhile, sections of Cobb County showed just three. Existing home inventory saw just a slight uptick (from 2.7 months available in May 2018 to three months in May 2019). Some areas of Fulton County reported as high as seven months available while parts of Cobb County showed just one month.
What Does This Mean for Buyers?
Even with more inventory available, prices continue to march upward. For the first time in several months, interest rates fell below 4%. According to Bankrate.com, buyers with great credit qualified for a 3.99% 30-year fixed-rate mortgage loan last week. On June 19th, the Federal Reserve announced that the benchmark interest rate would remain the same for now 2.25% to 2.5%). However, they suggested that they may cut interest rates again sometime this year. That depends on how the economy fares over the next few months. While rates may potentially go down, prices don't appear to be shrinking. On the contrary, they just keep increasing. Therefore, if you're interested in purchasing a home, it would be a good idea to start looking now. Contact your North Metro Atlanta REALTOR® as soon as possible to begin your search now.