Atlanta home sales end the year restricted by low inventory, rising prices

by Rincey Abraham

Atlanta home sales ended 2017 on a low note as home sales dropped on both a month-over-month and year-over-year basis, according to the Atlanta Realtors Association.

December home sales reached 4,226, which is down 6.2 percent from last December’s total of 4,507. It is also down 0.7 percent from November 2017’s sales of 4,254.

However, both the median and average sales price showed positive gains. The median sales price grew 5.5 percent to $250,000 over last December, while the average sales price rose 4.7 percent from $295,000 to $309,000. Both the average and median sales price rose 2 percent compared to November.

Supply continues to restrict sales in Atlanta, as the housing supply dropped nearly 20 percent from last year. The number of homes on the market totaled 11,813 in December and new listings totaled 2,540, which is down 10.1 percent from last year and 27.5 percent from November 2017. Months supply dropped from 2.7 months in November to 2.4 months in December.

“The Atlanta market finished the year much as it began, with low inventory continuing to be an issue for Metro Atlanta,” said Atlanta Realtors Association President Bill Murray. “At the end of 2017, inventory provided just under two-and-a-half months’ supply.  As a result, median home prices continue to rise with a 5.5 percent increase over 2016, continuing the trend of steady, positive monthly growth that has lasted over five years.”

Dec. 2017 Dec. 2016 YoY Change Nov. 2017 MoM Change
Total Home Sales  4,226  4,507 -6.2%  4,254 -0.7%
Median Sales Price $250,000 $237,000 5.5% $245,000 2%
Average Sales Price $309,000 $295,000 4.7% $303,000 2%