Academy Mortgage understands how important a home investment is and how much impact it will have on your life. For that reason, they make sure that everyone that will be involved in your home loan process stays up-to-date on current market conditions and trends. But not only do they want to stay updated; they want to make sure you are too.
This week’s market update from Academy Mortgage centers on the Atlanta real estate market’s current inventory and prices. The average home price for the National 20-City Index increased by 2.4 percent compared to last month and by 12.2 percent over the last year. The April index for the metro Atlanta area shows a 3.43 percent increase in home values, while there has been a whopping 20.1 percent increase over the past year.
The real estate market in metro Atlanta continues to show signs of improvement for sellers as well. Home listing inventory is up 18 percent since the beginning of February 2013, which represents around a 3.8 month supply of inventory based on the latest closed sales trend. While this number is improving, a six month supply of homes is considered normal.
One surprising trend that we have seen is the increasing in cash buyers. More than half of all homes sold last year, as well as so far in 2013, have been purchased and financed without a mortgage, according to an analysis by economists at Goldman Sachs Group. They estimate that around 20 percent of all homes sold before the housing market crisis were all-cash sales or around 30 percent of sales by dollar volumes. The all-cash share of home sales has more than doubled over the past seven years, increasing by more than 30 percent points according to economists Hui Shan, Marty Young and Charlie Himmelberg. Goldman Sachs analysts estimate that around 67 cents of every dollar of homes sold was being financed before the crisis, but that has now dropped to 44 cents of every dollar. This statistic is particularly interesting because that means the higher amount of equity in homes should make it easier for people to sell and move.
For more information on the current market conditions or home loans, contact Travis Evans with Academy Mortgage at 404-713-8662 or visit their website at www.AcademyMortgage.com.