Atlanta Metro Real Estate 2nd Quarter Stats Say List and Buy Now


Happy Thursday, August 18, 2011

I think the results of 2nd quarter Metro Atlanta Housing Market tells a very important story … if you don’t have the patience to read this entire market update I hope you will read the “red bits”.

“I believe we ‘might’ have finally hit bottom.”  Says Steve Palm of FMLS Smart Numbers. He goes on to say that, our 2nd quarter number of closings for all single family were higher than the previous 3 years.

Closings for all single family in June 2011 was 5,745 compared to 5,347 in 2010.  VERY small increase. This is the best June since 2007, which boasted 7,432 closings. 2006 was our record high of nearly 9000.

Single family detached closings in June 2011 were just shy of 5000. This is nearly a 10% increase in June 2010 to June 2011.

Single family attached is continuing to struggle. There were 818 closings for single family attached in June 2011.( Condos and Townhomes)

Demonstrating a decrease of 4.3% as compared to June 2010 and the 4th year-to-year monthly decline in 2011.

The second half of 2010 was very weak. The increases in the second half of 2011 may result in our first annual year-year gain in closings for all single family since 2005-2006. It is still a very weak market.

 Increased closings are due to very low prices. The average price for the first half of 2011 for all single family is $174,393. The last time there was a lower annual price was 1997 or $166,213.

Although, closings are up the first half of 2011 over the past three years, the overall dollar volume is still down.

 

So, even if the total closed units are up and sales volume is down, that paints the picture of pricing that every Buyer and Seller will see and feel.

 

The average sale price for single family detached was $197,900 in June 2011. This is 6.9% below June 2010 and $87,000 below the all time June high of $284,875 in 2007.  June 2007 was also the all-time monthly average high.

The average sale price for single family attached for June 2011 was $125,130. This is 13.6% below June 2010 and the last time a June had a lower price was 1998’s $121,397.

 Our inventory levels are now almost at 2003 levels, so this over shadows the positive.

 The active inventory for all single family was 39,445 at the end of June. The last time a June inventory was lower was 2003, 37,745.

This is a long way from the all-time June high in  2008 at 69,988 or a reduction of 43.6%. I believe inventories for all single family will remain flat or even decline till after 2011.

 

My personal prediction is that inventories will remain low for a very long time, homes that are painfully priced and in great condition will Fly off the market and there will continue to be fewer equity homeowners that can sell.

Owner Occupant Buyers will compete with investors for the deals. Epiphany for Buyers: 1998 pricing and low interest rates… Keep waiting and the best deals will be gone!

Our ‘1998’ prices means many homeowners won’t put their homes on the market. This also means that most homes purchased since 1998 will fetch a sales price beneath what was originally paid.

The impact of new housing starts is another matter and you will find that in my blog soon.

 

So, with all that said Please let me know how I can help with your real estate needs or those of a friend or family member. It has never been more important to hire someone that is experienced, knowledgeable and up-to-date.

Debby Crawford

Keller Williams Realty Atlanta Midtown

http://www.CrawfordGroupAtlanta.com

http://www.Search-AtlantaHomes.com

Direct: 404-213-2869

Fax:     404-604-3293

 

~ by agentdebby on August 19, 2011.

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