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How’s the Market?
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The 3rd Quarter stats were rather dismal and are believed to be the direct result of the spring Federal tax credit. Business was booming earlier this year as first-time homebuyers raced to beat the deadlines. Things certainly looked bright, like the bottom of the market had come and gone.
Not so fast….What the 3Q stats show is that we’re not out of the woods yet. Bumping along the bottom, yes. In full recovery, no. People who were going to buy strategically timed their buying this spring. That left a fairly significant hole in the market this fall.
In the 3Q, sales in the Atlanta metro area were down 19.3% compared to the same time period last year. Of the houses that sold in the 3Q this year, 37.5% of them were distressed sales – either short sales or foreclosures. A stunning half of all the homes that sold for $200K or less were distressed properties. The median sales price reached its third lowest point since all this began, largely due to the high volume of distressed properties changing hands.
Good news for buyers: The bargain are out there and it’s never been cheaper to borrow money.
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