Well, the weather certainly has been almost unbearably hot this July 4th weekend. With temps hovering in the mid 90's and humidity in the bleachers, most of us have found excuses to be inside where it's a bit cooler. But you are not here to hear about the weather, are you? It's about the real estate market that's actually hotter than the temps outside.
Last week I attempted to take my annual 5 day vacation. Silly me. Of the actual three days that I had planned to spend on the beach with a little umbrella drink in my hand, I actually only got to do that on one day. The other two days were spent on the phone negotiating contracts.
So what's going on here in N. Atlanta. Well if you are looking to buy under $300k, then you have a major chore ahead of you. Better find a hotshot agent who can react at a moments notice. Houses are going under contract the moment they hit the MLS. The sweet spot is around $250k. There is simply not enough inventory around to satisfy demand. If you are selling, then be prepared for an onslaught of buyers agents and their clients - you will need protection!
Higher price points are more reasonable but because home sellers are reading this blog and some of the press, they are quick to raise their prices and to take whatever profit the market will bear. The poor appraisers have their jobs cut out too - always difficult appraising a house for the lender in a rapidly escalating market. They are often behind the curve and the underwriters are cautious, for good reason. Agents are caught in the same dilemma in doing Comparative Market Analyses as the numbers are based on historical data. And then of course there are the large "real estate" web sites like Zillow and Trulia and their algorithms work off historical data too. So it's not unusual for a buyer to complain bitterly about a listing being way too high, based on the Zillow numbers. And the seller thinking that Zillow is crazy and that the numbers are way too low. Talk about cutting babies in half.......