By Bill Adams, MBA, CCIM, CRB, ALC
Welcome to the latest update on the Intown Atlanta real estate market as of May 2022.
The average sales price for the Intown Atlanta market that we survey edged up to $646,989 in May 2022. This is an 18% increase over the May 2021 average sales price of $550,281. The average number of days on the market fell to 27 days, a decrease of 33% over the last year and one day less than last month’s report. Over the past 12 months, 2,443 units sold in the overall market, a 12% decrease since last year and 24 units more than last month’s report.
This month, I would like to compare the Intown Atlanta average sales price to the average for the metro Atlanta region, the average for the state of Georgia and the nation.
According to First Multiple Listing Service (FMLS), the average sales price for their coverage area (mostly the Atlanta SMSA) is $460,701, a 17% price increase in the past 12 months. The Georgia Association of Realtors reports that the average sales price for a single-family home in the state of Georgia is $365,158, a 14.7% increase over last year. For the United States as a whole, the National Association of Realtors indicates that the average sales price for a single-family home in the U.S. is $374,900, a 16.2% increase in value.
As one would expect, homes in urban areas, like Intown Atlanta, are more expensive than suburban and rural locations. I find it interesting that all these markets experienced a double digit increase in price. Intown Atlanta’s percentage increase is within two percentage points of the regional and national increase and just over three percentage points higher than the increase experienced statewide.
In my opinion, this level of increasing sales prices is unsustainable. It certainly adds to the housing affordability crisis and contributes to the higher inflation numbers that we are currently experiencing.
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