Courtesy of Georgia MLS.
Atlanta’s housing market continued its transition into buyer’s territory in July, as active inventory increased, providing more consumer choice, while the pace of sales slowed, leading sellers to adjust their expectations, Georgia MLS said in its 12-county housing market snapshot.
July’s data suggests that buyers are becoming more deliberate. While demand has not disappeared, buyers are showing less willingness to compete aggressively or make quick decisions simply because inventory is limited.
“The market is increasingly being driven by consumers who are choosing, rather than chasing, a home,” GAMLS Chief Marketing Officer John Ryan said. “Buyers have more inventory and more choices, so they are taking the time to evaluate price, value and their overall financial situation before making a decision. The market has shifted from one defined by scarcity and urgency to one where choice and value are taking center stage.”
Pending sales, the “clearest indicator of the market’s direction,” fell for the fourth month in a row, GAMLS noted. Units under contract fell 32% year over year and 3.7% month over month to 3,902 homes. The decline in pending sales foretells a decline in closings in coming months.
Closed sales, meanwhile, slipped 1.1% year over year and 9.8% month over month to 5,158 in a reflection of the decline in pending sales. The median sales price was flat month over month and up 1.2% year over year at $420,000.
Active listings increased 1.2% month over month and 1.3% year over year to 22,972, while new listings dipped 3.2% year over year and 7% month over month to 9.081.
The increase in active listings and the slide in pending sales shows a market where buyers have greater negotiating power and sellers realize the days of surging prices and multiple offers are gone, at least for the time being.
“For sellers, acceptance of the market is important, particularly as we move toward the end of the year,” Ryan said. “Homeowners who have built substantial equity may be in a position to use that equity to help offset the impact of today’s interest rates. But the data continues to suggest that simply waiting for housing prices to accelerate may not be a realistic strategy in the near term.”
Georgia MLS’ 12-county report includes Cherokee, Clayton, Cobb, Dekalb, Douglas, Fayette, Forsyth, Fulton, Gwinnett, Henry, Paulding and Rockdale counties.