Welcome to the tail end of summer in Atlanta! The LaMon Team with Keller Williams Buckhead is excited to share our Q2 2022 Atlanta Real Estate Market Report. It provides valuable insights into how our neighborhoods are performing and what to expect from the remaining summer and fall housing market.
As you've probably heard by now, a lot has changed since the start of the year. While home prices have continued to surge, we’re noticing a change in pace (houses sitting a little longer, buyers dropping out of the race). One of the biggest contributors towards this shift is rising mortgage rates. Many individual buyers are being pushed out of the market by higher rates, which are making monthly payments more expensive than they were earlier this year.
After an average of 3.45% in January, the 30-year fixed mortgage rate jumped to an average of 4.98% in April, then 5.52% in June, according to Freddie Mac data. More recently, that rate has hovered in the mid-5% range.
With all the headlines and buzz in the media surrounding real estate, many people have asked us what to expect next? Are we in a housing bubble? The short answer is: no, we are not. Low inventory has kept competition in metro Atlanta steady and we are still seeing home appreciation. Southern Fulton County and the northeastern suburbs in particular have led the region in home price growth over the summer months.
The median home value in Union City's 30291 grew 8.3% from April through June, according to data from Zillow Inc. That was the largest increases in the metro area. Fairburn's 30213 ZIP code ranked third at 7.8%. In Paulding County to the north, Dallas' 30132 ZIP code also had a 8.3% increase.
So, while homes may not be selling in one weekend with 20+ offers like last summer, they are still going up in value and selling fairly quickly, when priced correctly.
Still worried about a possible recession? Federal Reserve Chair Jerome Powell said in a news conference Wednesday while there is a slowdown in growth, he pointed to what he called very strong data coming out of the labor market. He said he didn't think the U.S. was in a recession currently.
"In all probability, demand is still strong, and the economy is still on track to grow this year, but the slowdown in the second quarter is notable and we’ll be watching that," Powell told reporters.
Our team’s mission is to help you build a life you love! We’re experts at navigating this complex market and would love to guide you through the process of finding a home that supports the lifestyle you are building! Contact our team to learn more about buying and selling in Atlanta this year.
Get assistance in determining current property value, crafting a competitive offer, writing and negotiating a contract, and much more. Contact us today.