It’s an interesting time in Atlanta real estate. I am blessed to be able to walk my son to school each day and on the way to school I’m amazed at all the new construction activity. For a half mile walk or less I see at least six new homes under construction and not one of them is under contract. I am not sure if builders have gotten ahead of themselves or the market really is not there for close to million-dollar new construction homes across Atlanta.
Overall the state of the market is pretty good but volume is just not there compared to previous years. Most of the new construction homes I am seeing get moved into are custom builds on lots and land that consumers are finding and building on their own. This does save money and allows homebuyers to build what they may want as opposed to what a spec builder may build for what he thinks the market wants. This includes options like covered patios, finished basements or unique finishes that a spec builder just cannot afford to do.
The rate at which homes are selling in Atlanta truly has two deciding factors. Price is obviously the largest of the two and I am finding that school district although the latter is more important than ever. Finding the best elementary school with a new construction home and it is the perfect mix of getting what you want from the home and not having to pay the higher premium for Atlanta private schools.
Sorry for the long real estate rant but as I walk and talk it is easy to realize that we still do have a sensitive Atlanta real estate market and as long as interest rates stay low and millennial’s come into the market I believe things will be stable for years to come.
It is nice to see all this new construction and remember that each time a new home is built everyone from the concrete manufacturers to be building supply companies and the labor all bring new revenue into a soft economy that needs it.