Atlanta Real Estate Market- How Is The Real Estate Market In Atlanta

Atlanta real estate market has remained relatively stable over the past several years, with prices, building permits, and consumer demand remaining relatively stable – even as mortgage rates have risen and other market forces have taken their toll.

The housing market in the Atlanta Metropolitan Statistical Area (MSA), which includes the cities of Atlanta, Sandy Springs, and Roswell, has remained relatively stable for the past several years. In fact, the NAR named the MSA as the No.1 market to watch in 2024 due to its affordability and strong job market.

Will that continue into 2024? Here’s a look at some of the data coming out of the Atlanta housing market. In this article, we talked about the Atlanta real estate market and how it will be in the upcoming year. So continue reading.

Is The Real Estate Market Of Atlanta Good?

Atlanta has been a highly competitive real estate market for a number of years and is one of the most sought-after rental markets in the United States.

The housing market in Atlanta has benefitted from population growth, with nearly 285,000 individuals relocating to the state of Georgia in 2019, as reported by the United States Census Bureau. Next in this article, we are going to talk about the Atlanta real estate market forecast 2023 so continue reading.

The Changes Of Atlanta Real Estate Market In 2022

The Atlanta MSA, like much of the country, saw a significant decline in building permits throughout 2022. Single-family permits peaked in March at nearly 3,000 but dropped to just under a thousand by the end of the year.

Since then, single-family permits have rebounded, with 7,132 permits approved between May and July of this year. This is a slight increase from 6,891 permits approved in the same period last year, but it is also a significant improvement from the last few months in 2022 when permits reached their lowest level in five years at least.

On the other hand, multifamily development has seen a steady increase in permits, with 4,439 permits approved from May to July this year, a 13% increase from the 3,924 permits approved at the same time last year. Permits for multifamily developments have declined significantly since the beginning of 2023.

Supply And Demand Of Atlanta Real Estate Market

The Atlanta real estate market is currently experiencing a lack of available homes for sale, with the Metropolitan Statistical Area (MSA) currently having a supply of 2.4 months, which is lower than the national average, but has increased by nearly two weeks compared to a year ago.

This lack of supply is not unexpected, as mortgage rates have risen to above 7%, with many homeowners choosing to remain in their homes in order to avoid trading their ultra-low rates for significantly higher rates.

The Mortgage Bankers Association’s Weekly Mortgage Applications Survey (MBS) for the week ending September 1 showed a decrease in mortgage loan application volume of 2.9% seasonally adjusted, and a decrease in the Refinance Index of 5% compared to the previous week, as well as a decrease in the Seasonally Adjusted Purchase Index of 2% from a year ago.

Reasons Why The Builder’s Confidence Is Improving In Atlanta Real Estate Market

While builder sentiment remains relatively stable year-over-year, it has risen from a low of 33/100 in December to a high of 55 today, a sign that builders are beginning to feel more optimistic about locating in the southern U.S.

There are some reasons why the builder’s confidence is improving in the Atlanta GA real estate market. Those reasons are:

Steady Home Prices

Atlanta MSA home prices have remained relatively stable, with a median home price of $395,000 in July, according to data from Redfin. This is below the national median of $422,000 and slightly higher than the median price in July of last year. That’s why the builder’s confidence is blooming in the Atlanta real estate market.

Employment In Atlanta

An important factor in the Atlanta GA real estate market is that The Atlanta MSA’s job market continues to thrive, with 66,000 jobs added in the past year, and a 3.2% unemployment rate. This is a 0.4% increase from a year ago, but still below the national average. Employment is expected to increase by 34% through 2050.

Atlanta is home to some of the largest tech companies in the United States, including Apple, Microsoft, and Alphabet. Sandy Springs, 16 miles north of Atlanta, is a great option for those with city jobs but who want a quieter lifestyle. This is going to be an important factor in the Atlanta real estate market.

New Communities

Atlanta is a top destination for many homebuilders looking to build new communities, but it’s hard to find land in Sandy Springs, where one-off custom properties are more popular than brand-new neighborhoods.

Strong Demand

Builder confidence is likely buoyed by strong demand and steadily decreasing construction costs across the country. Construction costs have yet to see a yearly decline, but they’ve fallen significantly since their November peak and are projected to trend down for the entire year 2023.

Atlanta Real Estate Market Forecast 2023

In July 2023, the median price of a listing home in the Atlanta GA real estate market was $430,000, which was a 3.6% decrease from the year before. This gives us an idea of how much homes are going for in the city, and it shows how the market has changed recently.

Predictions Of Atlanta Real Estate Market

There is no definitive answer to this question, but with strong job growth, strong movers’ demand, and rising consumer and builder confidence, the Atlanta – Sandy Springs – Roswell housing market is well-positioned for a robust and consistent fall season.

Conclusion

This article starts with a question that asks about the Atlanta real estate market and we tried our best to cover all the related topics regarding that question.

We hope you find this article informative and satisfied with this answer. To wrap it up all we can say is that in the upcoming time, the real estate market of Atlanta will be even better than the current time.

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