2015 was a good year in real estate.  The current Metro Atlanta Market Report shows a market that continues to improve.  Interest rates were stable and hovered around four percent. The highlights of last year were about new construction and lack of inventory.  Those two things drove the market.  New construction, I feel, is not the best money spent.  The amount builders are getting for upgrades is astronomical.  Homes that were for sale from $500,000 and under were considered to be a sellers market.  December 2015 compared to December 2014 was an improvement.  Thirteen out of fourteen categories showed improvements and the remaining category was flat.  No negative results compared to December 2014.  The Fed raised interest rates but it did not effect the mortgage interest rates.  See current mortgage rates.

December 2015 Market Report

• Homes for sale (Actives) were up 6.3%
• Number of pending homes increased 5 percent compared to December 2014
• Number of sold property increase 9.5 percent
• Total distressed properties over the last three months decreased from 11.6% to 8.2%
• Median original sales price increased 11.4%
• Median days on market decrease from 56 days to 49 days

What Does the Market Report Mean for Buyer and Sellers  

For Buyers

It is still a good market to buy in.  It is due to a couple of reasons.

• The interest rates are still low – this means more buying power – they have been stable in 2015
• In most areas, values have not reached pre-recession levels – values of homes closer to Atlanta have risen more than homes in the outer areas
• There are still some distressed property sales out there – not that many

A couple of key points – areas affect your buying power.  Homes in Smyrna will cost more than homes in Dallas.   So take that into consideration.  Interest rates are low, but your credit could affect that and increase the rates.  Monitor and clean up your credit.  That will help with your interest rate and the buying power you will have.  Try to get your credit score above 700.  With only 8.2 percent of sales that are Distressed Property Sales, there are not many left.  Inventory is low.  This means more competition and better and higher offers.  I have had a number of buyers, this year, lose out on properties because their offer was not competitive enough or they ended up in a multiple offer situation.

For Sellers

The lack of inventory has help to drive prices up and sell homes quicker.  The inventory should improve this year, but it will be awhile before demand and supply can meet.  So if you want to sell, take advantage of the market.  I am always looking for trends in the market. This last year sellers had the advantage in price points $500,000 and under.

Metro Atlanta Market Report:  January 2016

The post Metro Atlanta Market Report: January 2016 appeared first on Total Atlanta Realty.