Well, I have some good news…the state’s economy looks great and is expected to continue getting better in 2017. Plus, all signs that we like to see for a healthy housing market point to a brisk home buying market this year. In a recent article that appeared in the Atlanta Business Chronicle, writer Dave Williams shares the following encouraging facts about our growing economy:
- The Georgia economy grew 2.4 percent compared to 1.7 percent for the nation as a whole.
- Job creation reached 99,000; more than the national average.
- We added jobs in wide ranging industries from construction to manufacturing to business services.
- Growth in our major metro areas—like Atlanta—is outpacing small cities and rural areas.
So, what do these facts mean for our Westside Atlanta residential real estate market? Here’s what I see happening this year. First of all, as I’ve written about in a recent post, there is a misconception floating around our local market that a real estate correction is on the near horizon. When looking at the facts and talking to experts I respect, there’s really no evidence of a correction happening anytime soon. I urge you to check out my article on the subject and let me know if you have questions.
What I do see on the horizon, at least for 2017, are signs that point to a positive outlook on housing and a healthy economy; especially good job growth, which leads to a robust housing market. Specifically, I’m seeing the following in our local market:
- Lower price point homes, below $500,000, continue to see prices rise and inventories tight, especially in highly desirable school districts.
- There are some great deals in up-and-coming areas like Riverside, Whittier Mills, Adams Crossing and Dupont Commons. While the elementary school is not considered “highly desirable,” I know lots of parents who are very happy with the school, and things are changing. You may want to consider one of these neighborhoods that have more housing inventory available at affordable prices.
- For homes prices above $750,000, the market is softening as we have a healthy supply on hand—seven months’ supply in the $750,000 – $999,000 range; nine months’ supply $1 million and above. The National Association of Realtors says a balanced market is when there is six months’ supply of inventory. These houses are taking awhile to sell, and if you are a buyer in this price range you may find some negotiating because of this fact.
- The 2016 average sales price in Atlanta is at an all time high since 2007. While this is an exciting fact, it can also be a daunting one. I love studying home prices and as a pricing strategist, I can help you determine if the price you are asking or buying at is a good one.
So, here’s to a great year here in Georgia and especially in Atlanta! If you are not living here already, you may want to come and check it out.