Metro Atlanta home prices still climbing

The metro Atlanta housing market is still hot, but the number of homes listed has finally increased, which could mean that sellers will soon have a little less of an advantage. (AP Photo/Charles Krupa)
Caption
The metro Atlanta housing market is still hot, but the number of homes listed has finally increased, which could mean that sellers will soon have a little less of an advantage. (AP Photo/Charles Krupa)

Credit: Charles Krupa

Credit: Charles Krupa

Metro Atlanta home prices continued their upward surge in June, but a growing inventory could make it less of a seller’s market.

The median price of a home sold last month in the 11-county area was $372,500. That price is 3.5% higher than the month before and a robust 26.3% higher than June 2020, said the Atlanta Realtors Association.

For several years, demand for homes has outpaced the number listed for sale, and the imbalance has grown during the pandemic. That’s because, while many professionals suddenly saw the need for more space, many potential home sellers suddenly became more reluctant to open their residences up to strangers.

When homes go on the market, potential buyers often have been forced to bid against each other, nudging prices higher, often even above the asking price. Meanwhile, mortgage rates have stayed near record lows.

This summer, with many people vaccinated and the economy recovering, there seems to have been a tipping point.

From May to June, listings jumped 12.9%, evidence of a shift, said Cynthia Lippert, the president of the Realtors association. “We have seen some initial signs of this beginning to ease. (But) this will not happen overnight,” she said.

Bridget Doss, Realtor with Kelli Phillips Realty Group, agreed.

“It is still very low, but there has been a slight uptick,” Doss said. “There are more properties available.”

ExploreEven for people with good jobs, buying a home in the Atlanta market can be tough

In a market balanced between buyers and sellers, the number of homes listed for sale roughly equals the number sold over six months. A year ago, metro Atlanta’s listings equaled a historically low 1.8 months of sales — and it kept falling. By May, inventory represented sales of just one month.

But in June, that edged up to 1.2 months. That’s still very low, but the change in direction was significant, said Kristen Jones, owner of Re/Max Around Atlanta.

”Overall, the market is still competitive, but not as intense as it was several months ago,” she said.

The sharpest price gain in the region over the past 12 months — 34.6% — was in Forsyth County, according to Re/Max.

Forsyth also had the highest median price in June: $493,852 compared to second-place Fulton, with $433,500. However, Fulton had about four times more sales than Forsyth.

The region’s median price in June was the highest on record, Re/Max said.

Metro Atlanta Housing Market

Increase in median sales price, largest counties

Cherokee: 22.1%

Clayton: 27.4%

Cobb: 24.0%

DeKalb: 20.1%

Forsyth: 34.6%

Fulton: 29.4%

Gwinnett: 26.3%

Henry: 25.6%

Coweta: 34.6%

Fayette: 12.1%

Source: Re/Max

___________________

Median sales price, largest counties

Cherokee: $383,500

Clayton: $203,900

Cobb: $384,250

DeKalb: $359,700

Forsyth: $493,852

Fulton: $433,500

Gwinnett: $350,000

Henry: $288,950

Coweta: $350,000

Fayette: $374,500

Source: Re/Max

________________