High Demand, Low Supply: A Shift in the Housing Market

Being a real estate agent has always been challenging. By and large, your livelihood is dependent upon other people making one of the biggest decisions of their life. 

This weekend, I was looking for homes to show to one of my clients.  Here is the problem: many of the homes, even if they are listed as active, have multiple offers.  They won't become pending until one of the offers is selected and approved.  That can take several days to happen.

Here is snap shot of what this looks like in Snellville: 

Price Range: $75,000-$110,000 (this is quite a popular range for buyers now)
Number of Active Homes: 165
Number Listed as Available: 73
Number Under Contract: 92
Percent of Active Inventory "available": 44% or less when you consider a good many probably have multiple offers.

What does this mean to you? 

If you are one of the few lucky ones who are not upside down, now may be a great time to sell. The multiple offers are driving prices up. There is one neighborhood in Snellville that has seen nearly a $30,000 jump in prices since January.  That is just one example of several neighborhoods that are seeing appreciation from the lack of inventory. 

Does this mean we are in a seller's market?  

Yes, but not because of price. It is a buyer's market in that prices in many areas of Snellville have already bottomed out and we are starting to see some increase in prices (this is a relative term since prices had fallen so much). It is a seller's market in that a seller can be patient because they know other offers will be coming in. If you are considering selling, this is one of the best times in recent history (low interest rates coupled with low inventory). 

Proof is in the Pudding 

Year over year statistics show a 35.6% drop in listings in July compared with July of 2011.  The same is true with the foreclosure listing drops. It has fallen 57.6% year over year for the same time period. Meanwhile, we have seen 12.2% increase in sales price for that same time period. 

Deals of the Week 

Shiloh Beauty! Park the car now mama! This is one you don't want to miss. Must see to believe. Bank owned. Quick response time. 

South Gwinnett! Cleeeeeeean! Bank owned deal.  Super appliances and a two story foyer.  

Brookwood! Location, Location, Location! Walk to shopping and dining. Bank owned. In the "Sweet Spot" that I spoke about.  

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Please keep in mind that this information is based on FMLS/GAMLS data and is deemed to be reliable, but not guaranteed.