Atlanta Homeowners are Lucky!

While homes throughout the country are experiencing zero and negative appreciation, homeowners in Atlanta can rest assured that their home is still a sound investment despite the real estate slump. This just reiterates the fact that you cannot listen to national coverage about the housing market and think it applies to us here in Atlanta. While many homes are depreciating in value, our homes actually are still appreciating at about 3% (or more in some areas) which means that buying a home in Atlanta is still a great investment in this economic slump, according to the April newsletter of the Atlanta Development Authority. We also have exceptional values on homes with some of the lowest price points you can find in the country. However, new home construction has decreased by almost 40% in the metro area, but there are about one and half closings for every new build. This means that although builders are slowing construction just to be safe, people are still building new Atlanta homes and our housing market is still doing well. Yet, it also means that home prices will not stay low forever. As new homes are still being purchased and less are being constructed, the supply and demand ratio shifts to favor the builder instead of the buyer. Regardless, we should be thankful for our strong local economy, unlike some of the not-so-lucky United States regions includin Florida, California, and Ohio, whose homes depreciate by 1-7% a year making it impossible for them to sell their homes! So, even though we might be feeling the pinch of the struggling economy in other aspects of our lives, let’s be thankful for our Atlanta housing market and the ability to invest in a great luxury home!