August 2022 Intown Atlanta Market Report – View Here
By Bill Adams, MBA, CCIM, ALC, CRB, Founder, Adams Realtors
Welcome to the August 2022 Intown Atlanta Market Report. As you’re probably anticipating, I’ll first review our monthly numbers for the market, then I’ll take a deeper dive into the decade-long change in pricing for DeKalb County neighborhoods on Atlanta’s east side.
For August 2022, the average sales price for the overall Intown Atlanta market is $668,645. This is a 13% increase over the past year and a 1% increase over last month’s average. As you can see, prices continue to rise, and the month-over-month increase of 1% is an annual rate of 12%. The typical house was on the market only 25 days, a decrease of 29% since this time last year. Only 2,266 units were sold over the past 12 months, a decline of 16% or 436 sales. Demand continues to outstrip supply and thus prices continue to increase.
Last month, we focused on the increase in average sales prices in the small municipalities around Atlanta during the 10-year period from 2012 to 2022. This month we will study the change in prices in east Atlanta’s DeKalb neighborhoods during the same 10-year period. For purposes of the survey, I included both Morningside and Virginia Highland in this group of neighborhoods, although parts of both neighborhoods lie in Fulton County.
As was mentioned last month, in 2012 the real estate market was recovering from the Great Recession and many communities lost value during that period. Even given the fact that the 2012 values were somewhat depressed, the increase in sales prices over the last 10 years is still remarkable. Lake Claire has the lowest annual percentage increase in value at 6.62%. Edgewood increased at an annual rate of 16.36% and the other neighborhoods experienced average percentage annual price increases ranging from 7% to 13%.
In a normal market, I would expect Intown Atlanta neighborhoods to increase in value at an annual rate of 5%. I believe that the price increases that we experienced over the past decade are unsustainable and I expect that the market will regain a sense of normalcy over the next few years. If we do experience a recession, that may help to suppress price increases. However, I do not expect prices to go down.
Please let me know if you have any questions or comments and feel free to contact me at firstname.lastname@example.org.