Ways That Low Inventory Helps You as a Seller

Current Atlanta Housing Statistics, Free Property Value Estimate, and More!

It’s no secret that our housing market has been a seller’s market for a number of years now, including the absolutely crazy market of the pandemic we saw over the last couple of years. Today’s market, while still a seller’s market, is substantially different from that “unicorn” pandemic market. In today’s blog, I’ll talk about what differentiates today’s market from the previous pandemic market, and what low inventory means for you as a home seller looking to sell your home in the near future.

Differences Between Today's Housing Market and the Pandemic Housing Market

The biggest difference between today’s housing market and the market we saw during the pandemic, is the interest rates. I’ve written a number of articles talking about why interest rates have increased so dramatically over the past year, with the largest driving factor being the Federal Reserve’s battle against record-high inflation rates. Before the Fed started to increase the federal funds rate, which subsequently increased mortgage rates across the country, rates were actually at record lows during the pandemic. Huge numbers of homebound people sought to find a better home for themselves during that time. People who were satisfied with their current homes also refinanced to take advantage of the low-interest rates, causing a decrease in the total amount of inventory available on the market. Another factor that contributed to the low inventory during the pandemic was the lack of new construction homes. Because of supply chain issues, the building of new construction experienced significant decreases starting in 2020, which meant there were even fewer homes available on the market.

As I mentioned above, today’s rates are significantly higher, with today’s average currently standing at or above 7% in the Atlanta area for a 30-year loan according to Realtor.com. This is a big contributor to our inventory shortage today, as home sellers are cautious about selling their homes and having to receive a new mortgage loan at a higher rate. While comparing today’s rates to the rates we saw during the pandemic, it’s easy to think that rates are as high as they’ve ever been. Historically speaking, however, today’s rates are actually average, some homeowners might even remember the double-digit rates of the 80s!

Current Atlanta Housing Market Statistics

In today’s market, it’s more valuable than ever to know the local market statistics to better inform your decision on when is the best time to sell your home. It’s also important to work with an experienced and professional local real estate agent, who can help you interpret the statistics, and offer some perspective on how those statistics have changed in recent months, and what he or she anticipates seeing going forward.

If you are considering selling your home in the near future, the below statistics are some of the most valuable stats you should know about our local market.

June 2022 vs. June 2023

Monthly Supply: 1.9 - 2.3 (+21.05%)

Days on Market Until Sale: 8 - 11 (+37.5%)

Average Sales Price: $475,947 - $483,450 (+1.57%)

As you can see, we are still in a market with extremely low inventory, with our current supply of 2.3  months. For context, below four months' supply is considered a seller’s market, with five to seven months being a balanced market, and anything above seven being a buyer’s market. It’s also worth mentioning that days on market are up, and the average sales price of homes in our market has increased year over year as well. Homes are spending more time on the market, as potential buyers have been priced out of the market by increasing sales prices and interest rates, and therefore the remaining buyers in the market are competing over the remaining homes. I’ll also mention that this does not mean that sellers have the ability to put their homes on the market and increase the price far above what their home should normally sell for. It’s extremely important that home sellers work with a real estate agent to price their home correctly, which will increase your chances of receiving multiple offers, and receiving over list price for your home. Because of our current market conditions, sellers have a fantastic opportunity to prepare their homes for the market, and sell for top dollar, and in a short period of time! Even though our days on market are currently higher than they were last year, we are still seeing homes in good condition and priced correctly go quickly.

Want to Know More About Potentially Selling Your Home? Contact Me Today!

If you are considering selling your home in the near future and would like to know more information about our current market, contact me today by filling out the form below, or giving me a call at (404) 576-8515 to schedule a complimentary consultation! If you want to cash in on your home’s equity and are curious about the value of your home on today’s market as well, you can receive a free property value estimate by using my home value website here!