Intown Atlanta Musings

Exposing the Myths of the Real Estate Market Bubble: Part 3 - Inman Park

Good morning everyone!  I appologize for this next post taking so long to come up...you know we realtors actually have to do some real estate oriented work every now and then:) 

This post is going to focus on the current maket statistics for Inman Park.  Like the previous two market update posts, we'll be looking at the number of sales, median sales price, and the average days of market for the years 2005, 2006, and 2007.  So, without further adieu....

2005

Total Number of sales: 49

Median Sales Price: $415,000

Average Days on Market: 83

2006

Total Number of Sales: 37

Median Sales Price: $434,000

Average Days on Market: 89

2007 so far...

Total Number of Sales: 25

Median Sales Price = $472,500

Average days on Market = 120

**So Inman Park is on track to do the exact same number of transactions as last year, with about 8% appreciation.  Again though, it looks like the average number of days on market has increased by 50%...one of the highest increases amongst the intown Atlanta neighborhoods.  Another reason why pricing homes right, and staging them will be imperative for a sale. 

Until next time....

Wayne Tyndall - The CARE Team - www.thecareteam.net - wayne@thecareteam.net - 404-978-CARE

Exposing the Myths of the Real Estate Market Bubble - Part 2: Morningside

1. For part two of our market update series, we chose to focus on Morningside--Virginia Highland's neighbor to the north.  As in the last post on Virginia Highland, the numbers to be examined are the number of sales, median sales price, and the average days on market for the given year.  Here's what they look like:

1. Number of Sales 2005 = 174
2. Median Sales Price = $473,300
3. Average Days on Market = 63

1. Number of Sales 2006 = 181
2. Median Sales Price = $563,500
3. Average Days on Market = 98

1. Number of Sales 2007 thus far= 112
2. Median Sales Price = $512,500
3. Average Days on Market = 101

So here's our opinion as to what's going on:

It's unfortunate to see that Morningside has seen a decreased number of sales,  a decrease in median sales price, and and increase in the number of days on market.  In addition the inventory levels have been growing in comparison to the buyer pool. 

Advice to buyers:  Act now!  it's an amazing time to buy--if you have money to put down and you have an established relationship with a lender you can trust. 

Advice to sellers:  With so much competition, it's more imperative now than ever to have a great agent working for you (raises hand!).  Further, professional staging is also an essential part of your marketing plan.  In order to sell, you will also need to be prepared to pay some or all closing costs.  If you are concerned about the amount of time on the market, remember this - Two things will ultimately control whether or not your home sells; its condition and its price.  In the current market, pricing your home in the bottom 1/3 of the comps and having your home in the top 1/3 of the comps based on condition will ensure a speedy sale...who knows...you may even get multiple offers!

Look for more next time!

Wayne Tyndall - The CARE Team - www.thecareteam.net - wayne@thecareteam.net

Exposing the Myths of the Real Estate Market Bubble - Part 1: Virginia Highland

In recent months, the media has really ramped up their coverage of the real estate market across the country.  While that's awesome, there's a big problem with the way they are portraying what's going on. Real estate happens in a localized market--not on a national one.  Sure, regional and national economics certainly impact what happens within the smaller community--but it certainly isn't the end all, be all.  So with careless phrases like "the bursting real estate bubble" and "house values are declining rapidly" being thrown around out there, Pam and I thought it important to give our neighbors in the Intown Atlanta market some real numbers to work with in their particular neighborhoods.  We'll be focusing on two different important indicators in this series:

1. Median Sales Price (Looking at median sales price instead of an average removes the influence of the abnormally high, and abnormally low home sales in a neighborhood that appraisers are allowed to use in comparables anyway, but have a huge impact on the numbers when using the average approach.)

2. Days on Market  - Just how long are homes up for sale?

To start off the series...let's take a look at the numbers in Virginia Highland:

1. Median Sales Price 2005: $440,000
2. Average Days on Market 2005: 78 (Total # of sales = 162)
3. Median Sales Price 2006: $499,900
4. Average Days on Market 2006: 85 (Total # of sales = 142)
5. Median Sales Price 2007 to date: $570,000
6. Average Days on Market 2007 to date: 84

So, Virginia Highland residents, it looks like what the media has been saying doesn't really apply to you guys!  Essentially what we've seen in this particular neighborhood is an increase in the number of homes that are For Sale...almost double what they were last year...especially in the million dollar+ range.  In addition to that, the number of homes sold has been decreasing. What that means for sellers is the same thing we've been saying over and over again....price your homes right, and stage them, stage them, stage them! 

More next time!

Wayne Tyndall - wayne@thecareteam.net - 404-978-2272