Real Estate is Local

You can’t turn on the news without hearing about the trouble with the real estate market. You’re constantly hearing about how the market is depressed one day, slightly recovering the next, or just stagnating. It’s hard to make sense of it all when the story seems so bleak every day. Even the analysts are stumped. If you change channels, you can get an entirely different perspective from a different analyst.

But, one important thing to remember is this… ‘Real Estate is local.’ When you’re listening to the national news, the reporters are referring to the housing market as a whole.   

When we use the term ‘Real Estate is Local’, we are referring to the fact that every market is different. And, just because the national news reports that real estate has dropped significantly and that foreclosures are on the rise, it doesn’t mean that all areas are suffering to the same degree. 

Resale values can vary all the way down to the neighborhood level. People will move to an area based on a specific city, a specific school district within the city (even down to the specific elementary school within the district), a specific neighborhood, or in some cases, even a specific location within a subdivision.   

Some areas are impacted more, and others are recovering faster. If you’re lucky enough to live in one of these desirable areas, you’re not seeing big decreases in your property values. While Georgia has been hit hard in many areas, we’re still looking pretty good compared to other markets nationally. 

So, is there any good news about our local market? Yes! According to data from First Multiple Listing Service, the number of homes sold in the Metro Atlanta area is up 31 percent over this time last year. Prices are down 10 percent from last year.  (Good news if you’re a buyer, not so great if you’re a seller). However, another very interesting statistic is that the available inventory in our area is lower than it has been since December 2003.      

So, what does all of this mean?  It means that the prices are at a level that is attracting the attention of a lot of interested buyers. Homes are selling! With sales up and inventory depleting, the home prices are starting to stabilize in the metro area. As the available inventory continues to go down, the prices will stabilize even more. This is good news for sellers as well.

Interest rates are at an all time low, prices are low and starting to stabilize, and it's a great time to buy local real estate.

Editor's note: Kathy Peters is the owner of the Peters Home Team Realty in Lilburn.