Interpreting real estate stats is a nuanced business; like all things statistical, the devil is in the details. We'll keep the devil at bay here as we look at less common indicators of housing market strength north and west of Atlanta. How does list price compare to sale price? How many homes are selling and how long does it take? Alpharetta, Roswell, Johns Creek and Cumming are featured to the north. Marietta, Woodstock, Canton and Kennesaw are featured to the west-northwest. City designation is the only criteria, this is broad and if we drilled down, we'd likely see different price points act differently. We cover from January 2020 to present and look at sale to list price ratio, number of closed sales and average days on market. Scroll over the charts to see monthly data displayed.
These charts support what most folks already know - the battered and bloodied home buyers in particular. Eight different markets acting like a synchronized swimming team...
The 400 Corridor
For those hiding the basement for the past 18 months trying to use all of the toilet paper, big news. List price is often just a suggestion. Spring of 2021 saw list+ start and that's continued. Some buyers however, are just getting stupid with offers. Don't be stupid.
Covid pushed the spring market to the fall in 2020. The 2021 spring market moved towards normal as all but Cumming are at highs for number of closed sales. Cumming has a significant amount of new developments and those have experienced all kinds of delays.
The days on market for listings since March 2020 dropped faster than...fill in the blank. This is one of the text book reasons that buyers must be ready to go at any time; homes pop on then disappear.
Northwest & West
Slightly lower median values than the 400 Corridor, this area is no less competitive when it comes to offers. These areas see more investor influence , and investors have money to burn. If it gets competitive, no big deal for them as they plan to spend and win.
Current number of sales in all but Marietta are about the same as the highs of late 2020. Marietta is a larger geographical area with a wider price range and more investor activity. Here, the number of sales this last month is higher than any time prior.
Dropping almost as fast as the Falcons' chances for a winning season, the days on market for these areas offers a taste of how competitive things are. The highs occurred during the initial Covid outbreak and it's been a race to the bottom since.
What's it all Mean?
The unique nature of real estate means nothing is universal; data changes based upon price, characteristics, specific area, condition and more. It's disingenuous to use a "one size fits all" so while the above charts are good broad indicators, a narrow analysis for a specific home may show different results.
So it's reasonable to say:
- Buyers still need to be focused and ready to jump
- "Good" homes remain sought after, "Garbage" homes are being passed
- "Good" homes often go over list with buyer concessions
- Investors continue to be a major player, esp under 400K
- Watch rates - the Fed is looking at Nov to begin "normalization"
- Don't be stupid, don't be stupid
Well prepared buyers will succeed (eventually). Hasty or ill prepared ones may join the 44% of buyers with "Buyer's Remorse". As is ALWAYS the case, both sellers and buyers benefit from working with an experienced agent. That's not a pitch; the sales industry does nothing to ensure competency so if the public doesn't vet their agent...
There are lies, damned lies and statistics. Sometimes getting too deep is pointless; we're seeing data contradict the real world every day. Ask our six or seven buyers that have been looking for a home for almost a year. We've had many that decided to buy and found something within a few weeks, closed and are on their way. The data is a guide for the real world; it's part of the overall package required for success. Recognize it when it flashes because odds are that many others will as well.
The Hank Miller Team puts 30+ years of full time sales & appraisal experience to work for you. Act with complete confidence & make sound, decisive real estate decisions. 678-428-8276 and firstname.lastname@example.org Posted by Hank Miller on