Happy New Year!!! I know...I'm kinda late on the salutation, but I really have some usable news (and I needed an attention grabber).
S&P CoreLogic Case-Shiller Indices has just released its January 2019 report which details the results of the Metro Atlanta real estate market through December 2018. Some interesting aspects are detailed below:
2018 Annual closed units have increased by 1.5% from 2017.
2018 Annual pending units have increased 1.8% from 2017.
2018 Annual closed volume has increased 7.4% from 2017.
December 2018 Closings have decreased 5% as compared to November 2018 closings.
December 2018 Closings have decreased 11.3% compared to December 2017 closings.
In December 2018, 85% of total closed transactions fell within the $100,000 - $500,000 price range.
Inventory levels have decreased 6.7% from last month & have increased 9.1% as compared to last year.
December 2018 New listings have increased 10.8% from December 2017 & have decreased 27.1% from last month. Annual new listings have increased 4.1%.
Total Metro Atlanta months of inventory remains low at 3.8%.
Average sales price has increased 6.9% from 2017.
Annual Average Sales price has increased 74% from bottom of 2011.
Home vales have increased 75% from most recent real estate bottom of March 2012
What does this mean for you?
It does appear that the market is shifting a bit. If your home is currently listed for sale, it's time to review your pricing and marketing strategies with your Realtor. Being unrealistic about pricing and its relation to demand could possibly backfire. If you're considering selling, then you should have an open and frank discussion with your real estate professional regarding a realistic price for which your home could sell. Also, don't be shy about discussing marketing strategies with Realtors who are interested in selling your home. Be open to staging recommendations and commit to understanding all of those pesky graphs and pie charts regarding market statistics. Don't be afraid to ask questions about your market and keep in mind that this may not be the time to try to "play the market" with a series of pricing reductions. Price it right....sell it quickly!
Buyers will forever wonder if the days of the "super low" 2008 home prices are coming back. I'm gonna go out on a limb and give them a pretty resolute "no". The factors surrounding the crash are simply not in place in today's market. In fact, legislation has been enacted to prevent some of those factors from returning. With "average days on market" beginning to increase and sales velocity declining, it's reasonable to ascertain that home prices will begin to stabilize a bit. Even if prices decline modestly, rising interest rates could play a significant part in offsetting the value of decreasing prices. Couple that with the fact that we can't accurately predict how much of a decline we'll see (or if we'll see any significant decline at all), playing the odds may not work well as it could result in buyers searching in lower price points (below $200,000) being priced out of the market.
Just as the old adage states "everything old is new again", real estate is cyclical. Being able to navigate through each cycle is important and not as difficult as one may think. One major aspect of being apprised of upcoming cycles is to make sure that you receive monthly market updates. My website provides Market Insider reports that will provide you with updated market trends of YOUR neighborhood. Simply Click here and enter your zip code....EASY PEASY! You can also subscribe to have this monthly update delivered directly to your inbox!
For more information regarding buying and selling in today's market, contact Vanessa Calhoun at 470-209-8136!