State of Atlanta Housing Market with FMLS
FMLS President Jeremy Crawford joins the Atlanta Real Estate Forum Radio podcast to discuss the current state of the Atlanta housing market and the company’s pioneering virtual services. Crawford joins hosts Carol Morgan and Todd Schnick for the All About Real Estate segment.
A premier Atlanta multiple listing service (MLS), FMLS has over 56,000 brokers and agents using its service. In the last year, the company experienced 15 percent in growth and is now the fourth-largest MLS in the nation, with brokers from every state as well as outside the U.S.
Crawford said, “I always love to talk about the stats and talk about the data. What we saw last year really paved the way for 2022.”
Atlanta Home Prices Increasing Rapidly
In a recent publication, Bloomberg shared that Atlanta is posting faster pricing increases than any other metro area market in the nation. Inflation, unemployment down to 2.4 percent and rent increasing by 24 percent year over date are all components that create the number one market for investors.
Homes Being Sold to Investors
Over 32 percent of homes purchased in last year’s third quarter were purchased by investors in place of homeowners. This trend drives up prices and affects home affordability. Compared to 40 other metro areas, investors continue to look at the hot Atlanta housing market.
Lack of Inventory Homes in Atlanta Market
Closing out 2021, the number one problem in the Atlanta market is the lack of inventory. Constraints on new homes, rentals, the new home construction market and a historically low supply present problems for homebuyers entering the market.
Previously, the median market time was 25 days with a three-month supply of homes available, creating a healthy, seller-centric market. Currently, there is a one-month inventory with the median market at eight days.
“We thought we were going to see a slowdown and it didn’t happen,” said Crawford. “The sales price on average is up 30 percent compared to October 2020.”
Other Home Buying Trends
With a large instant buyer market, many Atlanta investors purchase properties in order to renovate or build out portfolios. Build-to-rent is also increasing in popularity and with rent up 20 percent year-over-year, there are plenty of opportunities for investors to profit.
Another trend in today’s market is the lease-to-own model. Companies lease properties to consumers for two years, and during this time the tenants build a down payment and credit. This allows them to buy the home at the end of the two-year period. Quite a few companies are moving towards this model to allow more tenants to transition from leasing to homeownership and increase home affordability.
Tune in to the full interview above for more information on FMLS or visit www.firstmls.com to learn more.
Georgia Residential Mortgage Licensee, License #22564. NMLS ID #6606. Subject to borrower and property qualifications. Not all applicants will qualify. FMLS and New American Funding are not associated. Click here to view the terms and conditions of products mentioned during the show. Corporate office 14511 Myford Rd., Suite 100, Tustin, CA 92780. Phone: (800) 450-2010. (January/2022)
New American Funding is a family-owned mortgage lender with a servicing portfolio of over 216,000+ loans for $56.8 billion, 171 branches and about 4,500+ employees. The company offers several niche loan products and has made Inc. 5000’s list of Fastest-Growing Companies in America seven times. For more information, call 678-898-3540 or visit https://branch.newamericanfunding.com/Atlanta.
The Atlanta Real Estate Forum Radio “All About Real Estate” segment, presented by Denim Marketing, highlights the movers and shakers in the Atlanta real estate industry – the home builders, developers, Realtors and suppliers working to provide the American dream for Atlantans. For more information on how you can be featured as a guest, contact Denim Marketing at 770-383-3360 or fill out the Atlanta Real Estate Forum contact form. Subscribe to the Atlanta Real Estate Forum Radio podcast on iTunes, and if you like this week’s show, be sure to rate it.