Category Archives: Market data

1Q10 Multi-Family Report Update

Posted on June 17, 2010 by | Leave a comment

1Q10 Multi-Family Report-update

As we reflect back on the first quarter of 2010, many of last year’s trends have carried over to this year.  Many sellers are still heavily negotiating on their prices and the ability to obtain financing remains a challenge.  The home buyer tax credit was just one of many factors motivating consumers to buy homes.  Buyers were also able to take advantage of low interest rates and competitive prices to get a home they may not have been able to purchase a few years ago.  The full extent of the tax credit, however, will not be realized until the June 30, 2010 closing deadline.

New Construction      

Buckhead:

In the Buckhead sub-market, 10 Terminus Place, Gallery Residences, and Paramount lead the way in absorption and helped achieve a 230% improvement in absorption over the first quarter of 2009. 

  • Absorption – up 230% to 43 homes
  • Average Sales Price – down 7% to $588,039

Intown:

Both absorption and average sales price in the Intown sub-market declined from 1Q09. 

  • Absorption – down 27% to 66 homes
  • Average sales price – down 30% to $227,179

The majority of the absorption was from Twelve Centennial Park, Viewpoint, and Element.  It is important to note the Element auction contributed 40 units to the total absorption in 1Q09.

Downtown:

In the Downtown sub-market, Oakland Park, The Stacks at Fulton Cotton Mill, and Kirkwood Station were the majority contributors to absorbed homes during the first quarter of 2010.

  • Absorption – up 15% to 23 homes
  • Average sales price – down 15% to $179,924

Resale

Both the Buckhead and Intown sub-markets had an increase in absorption over 1Q09 while sales prices have continued to decline.  However in the Downtown sub-market, there was a slight decrease in absorption over 1Q09 and a slight increase in sales prices. 

Buckhead

  • Absorption – up 5% to 167 homes
  • Average sales price – down 12.3% to $195,318

Intown

  • Absorption – up 22.4% to 268 homes
  • Average sales price – down 9.7% to $174,372

Downtown

  • Absorption – down 2.9% to 67
  • Average sales price – up 5% to $140,623

Sales prices for both new construction and resale have continued to decline, new construction homes in the Intown and Downtown sub-markets are achieving a 20% to 25% premium over resale, a rate that is considered very favorable.  During the first quarter 2009, the rate was near 40% for both sub-markets.

In conclusion, many buyers are cautiously returning from the sidelines, but they have a new set of priorities and requirements that need to be addressed.

1Q10 Multi-Family Report-update

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Posted in Company news, Condo, Market data, NRT Development Advisors, Real Estate

Market Response during the last 18 months!

Posted on June 8, 2010 by | Leave a comment

By: Brad Horner

As we approach the mid-point of 2010, I recently took the opportunity to sit down with Susie Proffitt of The Florida Home Show and Atlanta’s Best New Homes to talk about how our company, our clients and consumers responded to the real estate market during the last 18 months.  

Though economic factors continued to impact the industry and create apprehensions and obstacles for potential home buyers, many of our diverse developer, bank and institutional clients were still able to buck trends and increase qualified traffic and, more importantly, sales.  In the below video, Susie and I discuss how NRT Development Advisors helped them to do so by creating and executing innovative, results-driven marketing and sales strategies, including repositioning, partnerships, events, social media outreach and more.

I invite you to take a few minutes to watch the below video (by clicking on the image), which offers insight regarding how to approach the current market and includes video of the beautiful homes we have the privilege of representing.


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Posted in Bank Owned, Company news, Market data, NRT Development Advisors, Real Estate, Sales and Marketing, Value of a home

When Selling Your Home, Consider a Different Approach

Posted on May 6, 2010 by | 1 Comment

By: Bob Romano

When selling your home, consider a different approach to reach your goal. Many home owners today want to move up, down or out of state to improve their lifestyle. Unfortunately many find themselves in a dilemma, their existing home is not worth what they feel they need to make the move. Market conditions on average have effective home values in Georgia 22%, that’s a lot of value and for many it creates a situation that only time will fix. But for those with equity in their home, who are stuck because of the loss of value, thus preventing them from finding a great deal on a new home, there is a solution. However, it does require a paradigm shift. Consider the approach of analyzing the net effect of selling your home at market value and buying a new home at a considerable discount, the net result should pay dividends. Price your existing home to sell in today’s market and go find yourself a equal or better value on your new home, any loss you may incur on your existing home can easily be recovered on your new purchase. Hire a professional to analyze your particular market and price your home to sell, and then get out and find an even better deal.

Keep in mind this is without a doubt the best time to buy a home I have seen in my 25 years in real estate. Don’t let it pass you by.

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Posted in Market data, Real Estate, Sales and Marketing

Coldwell Banker NRT Development Advisors’ quarterly market report finds stabilizing home prices and declining inventory

Posted on April 21, 2010 by | Leave a comment

By: Brad Horner

Though the Q1 2010 report* recently released by Coldwell Banker NRT Development Advisors confirmed stabilizing sales prices and declining inventory, there continues to be mixed messages in the market.  Fears of metro Atlanta’s high unemployment rate, over supply of condominiums and moderate consumer confidence are balanced by low interest rates, affordable prices and the extension and expansion of the home buyer tax credit.

Highlights about the 15-county metro area from Q1 2010 report include:

  • Sales prices for single-family have begun to show some signs of stabilization with prices increasing 13.6 percent over 1Q09 for resale transactions. However, prices for condominiums and townhomes declined 4.1 percent overall compared to 1Q09.
  • Inventory levels for single-family and multi-family new construction have continued to decline and ended 1Q10 42.2 percent below the 1Q09 level.
  • A gain in absorption in the resale market helped to offset a significant decline in new construction sales, resulting in a 4.5 percent improvement over 1Q09.
  • The resale of multi-family and single-family resulted in an 8.3 percent increase in absorption over 1Q09, while new construction sales declined 17 percent.
  • Recovery in the housing market typically begins in the resale segment, and both single-family and multi-family absorption are up 10.9 percent and 7.8 percent, respectively, when compared to 1Q09 levels.
  • Foreclosure activity represented 29.7 percent of the total new construction sales and 38.6 percent of total resale transactions during the period.
  • Overall, foreclosure sales in 1Q10 were down when compared to 1Q09 volume with multi-family new construction foreclosure volume being down by 43 percent.
  • While total permit volume continues to remain at historically low levels, slight signs of improvement have begun to emerge. Single-family home permits have continued to increase since October 2009 and are currently 74.9 percent higher over February 2009 levels. Five counties had triple-digit improvement over the same period last year: Gwinnett, Cobb, Douglas, Fayette and Coweta.

Many buyers are cautiously returning from the sidelines, but they have a new set of priorities and requirements that needs to be addressed.  Because the current market is unlike any we have experienced in the past, it is more important than ever to work with a sales and marketing partner that has a thorough and complete understanding of today’s challenges.

Requests for the full report should be sent to Judy Price at Judy.Price@NRTDevelopmentAdvisors.com.  Past reports can be downloaded here.

*Information for the quarterly review is complied largely from the company’s proprietary Universal Data Base, a system that pulls data for the entire metropolitan Atlanta market from both FMLS and GAMLS, deleting any duplication.  The report includes submarket profiles for Cherokee, Clayton, Cobb, Coweta, DeKalb, Douglas, Fayette, Forsyth, Fulton (North and South), Gwinnett, Hall, Henry, Newton, Paulding and Rockdale counties.  Multi-family home sub-market profiles are also included for Buckhead, Intown, Downtown and other urbanizing areas.

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Posted in Company news, Market data, NRT Development Advisors