2018 was a big year for the Georgia property market. In Atlanta, housing price gains nearly doubled the national average. Rents were growing three times faster than the national median, and sales prices jumped by eight percent. With increasing sales prices and low inventory, it was clear that Georgia was a seller’s market.
So, what’s in store for the Georgia property market in 2019? Is this a good market to invest in? Let’s find out!
Atlanta One of Best Markets to Invest In
The Atlanta-Sandy Springs-Marietta metro area is among the 20 best housing markets to invest in. This area made Forbes’ top list due to multiple factors, including positive numbers in one-year job growth, three-year population growth and one-year home price growth. Forbes also chose locations that were predicted to be stable in the future thanks to continued job growth and affordable home prices.
Georgia Properties Attainable for Average Americans
Atlanta is one of the least expensive cities in the U.S. In fact, homes are undervalued by seven percent compared to the historic ratio of price and income. For example, the average home price in Atlanta is $234,249. Outside of Atlanta, home prices are even lower. These are attainable goals for the average working family. Rent, gasoline and property tax are also less than the national average.
Costs of living in Georgia may be lower, but job opportunities remain plentiful. With over a dozen Fortune 500 companies, Emory University and Fort Benning, job and population growth are on the rise in the Southern state.
Georgia is a Seller’s Market…But that Could Change
Georgia’s housing inventory remains low, and home prices are increasing eight percent year-over-year. Some areas only have a month’s supply worth of homes, when it’s recommend to have a six month supply. This is deterring some potential sellers from listing their homes because they may not find something. For those who are willing to be patient, it is possible to find new properties, it just takes longer.
What’s the Future of the Georgia Property Market?
The Georgia property market is expected to remain competitive in 2019, though home sales will likely move slower than in 2018. Still, the Georgia market maintains historically low mortgage rates and increasing population growth that continue to drive the property market. According to the U.S. Census Bureau, over 90,000 new residents came to the state between 2016 and 2017.
First Equity Funding is a hard money lender that works with real estate investors looking to fix and flip homes in multiple states, including Georgia. Call us today to learn more our fast approvals and competitive strategies.