The Value of a Typical Georgia Home Has Increased by 27.7% in the Past 12 Months. Over the past five years, Georgia's median home value has grown by more than 80%. Statewide Home Prices Up 19.5% YoY 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%.
They analyzed the prices of 25-year-old homes across the country. Their study concluded that current housing prices in Atlanta are 58% above what they would be if they had followed historical trends. The Federal Reserve raised its benchmark interest rate by half a percentage point on Wednesday, in an attempt to control inflation. Although not directly linked to mortgage rates, mortgage lending costs are likely to continue to rise as the Federal Reserve has signaled more rate hikes coming.
Others are switching to adjustable-rate mortgages with lower starting rates to try to soften the blow. Factors greater than mortgage rates are at stake, said Casey Daniel, vice president of Bank of America. Rising interest rates put the most pressure on people who were already stretching their finances to the limit to be able to afford a home, said Carl Hawthorne, broker with Atlanta Communities. However, these buyers represent a small part of global demand.
Another way to stay in the game and avoid higher payments is to use an adjustable-rate mortgage or ARM, said Bill Adams, president of Adams Realtors, which specializes in properties in and near the city of Atlanta. Home sales didn't plummet even in the late 70s and 80s, when mortgage rates were double digits. If homeowners have a fixed-rate mortgage, they benefit from inflation. Although home prices are quite high, this neighborhood is currently a buyer's market and this is the right time to invest in a property.
Almost all homes have sold above their sale price because they have a smaller number of homes available compared to last year. Georgia housing market is expected to continue to grow due to the number of jobs in Atlanta. The attractive cost of living and the multitude of jobs in various industries have made Atlanta one of the most popular residential and labor markets in the country. The right agent can help you find the best home for your budget and priorities, and negotiate a winning offer so you don't miss out on your dream home.
Leaving aside the short-term effects of Covid-19 that are expected to end, the Atlanta housing market is strong Since this pandemic began, record interest rates are attracting buyers to the market and giving them more buying power. A low or decreasing percentage of homes selling above the list price suggests that the market is becoming less competitive. They can also indicate if homes stay on the market or sell faster than sellers list them. Given those estimates, it's not surprising to find that 61% of its residents choose to rent their homes, while only 39% own their homes.
The Georgia Association of Realtors reported in January that the average sales price of homes in Georgia increased 17% year-on-year and that homes spent 21% fewer days on the market. Housing availability is relatively stable in the area, making it a little easier to buy a home compared to other cities in Georgia. Atlanta and the entire metro area market are so hot they can't switch to a full housing market for long-term buyers. .