Statewide home prices rose 19.5% year-on-year in May. At the same time, the number of homes sold fell by 5.8% and the number of homes for sale fell by 3.2%. Meanwhile, some buyers who have stretched their finances to make buying a home a reality, are now facing rising prices for almost everything and staying with the rent, experts say. When real estate agents in Georgia were surveyed, they were 14% more likely to say they work in a seller's market, 13% more likely than average to say home prices are rising in their area, and 10% more likely to say their buyer customers HAVE to make a offer instead of asking for them right now.
A high or increasing percentage of homes selling above the list price indicates that the housing market is competitive and that bidding wars are becoming more common. The amount of available housing decreased by nearly 30%, which means that homes that are available will be priced even higher. Experienced Atlanta real estate investors also research housing affordability to help forecast current and future demand for rental real estate. At least 75% of homes have sold above the list price that comes from multiple offers, some of which have no contingency.
Home prices have increased largely due to limited supply and fierce competition for available housing. Since the end of December, interest rates on the 30-year average fixed-rate mortgage have nearly doubled to over 5%, prompting predictions of an end to bidding wars and runaway home prices. Housing availability is relatively stable in the area, making it a little easier to buy a home compared to other cities in Georgia. Over the past year, buyers have rushed to bid on desirable homes in a kind of auction that has often sent sales prices higher than what sellers had asked for.
The Atlanta housing market forecast shows that there will be an increase in demand for rentals, as well as properties for sale in the city. As the city continues to experience an economic boom, turnkey property prices in Atlanta are projected to increase in the coming years. To search for the perfect investment property, simply type in your preferred city or neighborhood to get a quick overview of homes for sale in that area. The Atlanta housing market has a housing shortage that will continue to contribute to rising prices.
A low or decreasing percentage of homes selling above the list price suggests that the market is becoming less competitive.