3 THINGS TO KNOW.... Sales are Low, but the Market isn’t Slow (why, what it means and how to win in this market)

3 THINGS TO KNOW about the Atlanta Residential Real Estate Market

Sales are Low, but the Market isn’t Slow
(why, what it means and how to win in this market)
FIRST, SOME RELEVANT INFO:
Last week we talked about numbers year over year and month to month this season
Every year, the market is typically better than the year before.
- Sales prices are higher
- Days on market is lower or the same
- Numbers of sales are higher
This season, approaching fall, post spring-summer season, as usual, is slowing a little.
But, since Covid lockdown in spring of 2020
things are changing and we’re still seeing effects, positive and negative.
Post “Covid Lockdown”
Year over year was stronger, much stronger
- 20% rise in median sales price
- 50% faster to sell, fewer on days on market
- # sales were up by 10%
After “Covid Lockdown” 2020, the market wasn’t in any sort of Post spring summer softening mode.
We were full speed ahead!
This year, 2021 year over year
- 20% higher on median sales price, again
- 100%, 2 times faster to sell … & 3 times faster than 2019
- BUT number of sales are down 10%
1 - WHY:
How do we know, when sales are low,
that the market isn't about to slow?
The answer we hear is Inventory.
But how do we know this is really why?
We look at actual ratios, the ratios of home for sale, to homes sold.
This tells a story, The story.
August 2019
25,210 homes for sale
8,922 of those homes closed
35.39% of homes for sale closed.
August 2020
16,519 homes for sale
9,791 of those homes closed
59.27% of homes for sale closed.
August 2021
12,243 homes for sale
9,031 of those homes closed
73.75% of homes for sale closed.
Homes are selling fast and a much higher ratio to homes available.
August 2019 - 35% of homes for sale closed
August 2020 - 59.27% of homes for sale closed
August 2021 - 73.75% of homes for sale closed
2 - WHAT IT MEANS...
What does this mean?
- The market is Hot
- We need inventory
Buyers want new and or updated.
Statistics show that Buyers pay 20% more for homes that are updated or new.
3- HOW TO WIN IN THIS MARKET...
How do we win in this market?
Buyers:
- understand your options
- know your options
- have the best experts for guidance for You
Sellers:
- update
- stage
- give the market what it ‘demands’
This can be done at a minimal cost for an exponential return.
Next week, episode 62, we’ll talk about
3 THINGS TO KNOW
To Sell Your Home for a Premium Price