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The Intown Atlanta Market has definitely felt a (much needed) slowdown in the last several months with 30 year mortgage rates now sitting in the low 7%’s, causing somewhat of a standoff between sellers and buyers.
Would-be sellers are generally electing not to list, over 65% of all homeowners with loans are locked in a rate below 4%. The majority of homes coming to market are sellers relocating for a job, new construction or flips. Buyers, particularly first time buyers, are not able to afford to borrow as much with the rates being at near 20 year highs.
Inventory in Atlanta still remains low at under three months (for attached and single family homes), however it is up 50% year over year. In my experience, this is from lack of quality inventory on the market, whereas homes that fit most buyers’ checklists are still going relatively quickly and getting multiple offers in some cases.
Overall, this time of year is seasonally slow as well (besides the last couple years). The market is swaying more towards the buyer’s favor, where in most cases they can negotiate closing costs, rate buy downs (see article below), healthy contingencies, price reductions and more. There is plenty of pent up demand to keep prices stable and we are still experiencing a lot of relocating buyers continuing to move to Atlanta.
It’s still a great time for sellers, they can capitalize on their high equity and move up. It’s also a great time for buyers, there is more opportunity to get into homes with less up front and own a home!
Sept 2021 VS Sept 2022
# of Listings…………………..3,400 vs 3,344 (-2%)
# of Sold Listings………….1,453 vs 1,051 (-28%)
Avg Days to Sell……………………..26 vs 26 (N/C)
Avg Close Price..$512,051 vs $583,474 (+13%)
Months of Inventory………………….2 vs 3 (+50%) |
