
Mid Summer Market Update
Since my last update, markets remained stable and neutral for both buyers and sellers. We have not made any significant headway with rates. However, inventories continue to increase, paving the way for more affordable prices nationwide.
In some ways, we are in a pressure cooker, waiting to see if rates or prices will be the first to give, and once one of them does, we will likely see a significant increase in activity. But as of now, we are still in a holding pattern.
Nevertheless, Intown Atlanta remains in high demand, and there are great opportunities if you know where to look. I list some of those opportunities below, along with the latest national and local residential real estate metrics.
National Market Analysis [May]
Median home price: $422,800, up 1.3% from a year ago
Days on the market: 27 days, down from 29 in April
Supply: 4.6 months, up from 4.4 months in April
Buyers & Region
First-time buyers account for 30% of national sales, and second-home buyers were responsible for 17% of sales in May.
Home sales in the country’s southern region are down .5% from the same period last year, and the median home price in May was $367,800.
Atlanta Market Analysis [June]
Median home price: $420,000, down 1.2% from a year ago
Days on the market: 40 days, flat since May
Supply: 5.2 months, up from 4.7 months in May and up 49% from a year ago
Sales: down 11.5% from a year ago
Atlanta market overview
As we start the third quarter and the summer selling season, I expect the market to remain stable. With inventories at higher than average levels, there should be equal opportunities for both buyers and sellers. I expect mortgage rates to remain within the 6-7% range over the next three months, so that affordability will depend more on price than on rate changes. Below is a quick summary of what buyers and sellers can expect.
For Buyers: The increased inventory is expected to help bring balance to negotiations and lead to more favorable outcomes. More than half of the sales in June closed below the listing price. These price concessions can help buyers offset the higher rates. If you know where to look, you can find some excellent opportunities in great intown neighborhoods. Below are my top four listings for intown options:
- 1165 Piedmont Ave NE, UNIT B3
- 878 Peachtree St NE, APT 711
- 199 14th St NE, APT 1209
- 6900 Roswell Rd, APT F6
For Sellers: Homes in desirable intown neighborhoods can still get premium pricing if positioned and priced correctly. Overpricing could lead to a home sitting on the market for extended periods, as buyers have many options and negotiating power. It will be critical for sellers to work with a realtor like me to price and market the property effectively, optimizing its value and minimizing the time it spends on the market.
Conclusion
Atlanta sits in a balanced market for both buyers and sellers. With inventories at a 5-year high, buyers have excellent options and negotiating power. Intown Atlanta remains in high demand, and sellers can still expect to receive the asking price if they are priced and marketed correctly. The overall market should pick up once either rates or prices give, and Atlanta is one of the best real estate markets in the country once the movement happens.
If you’re ready to buy or sell a home this summer, don’t hesitate to contact me.