August Marks Strongest and Most Significant Recovery in Atlanta Housing Market

Midtown Atlanta Leads The Way –
65% Turnaround in Midtown Atlanta Condominium and Townhome Market– Since the start of the Covid19 pandemic, conventional and accurate thinking was that the intown market, specifically Midtown due to its greater population density, would take longer to recover back up to 2019 levels. Midtown Atlanta, indeed showed its recovery in August with a 78% increase in single-family-home sales, and dramatic reversal in the condominium market, up 8%. What? Only 8? Simple, the Midtown Atlanta market was down 73% this July compared to the last one. Bottom line is that people still want to live in Midtown Atlanta, and now they apparently feel more comfortable living in denser spaces.

Buckhead Atlanta remains incredibly strong with a 37% increase in single-family-homes being sold, and 18% for the condominium/townhome market.

How does these housing numbers correspond to the commercial real estate market? Favorably. Downtown Atlanta’s commercial estate continues to show incredible resiliency as demand for office space remains stable according to GlobeSt.com. In the multi-family market, demand in July returned to October 2019 levels, and is “…Atlanta has seen the strongest rent recovery of any major market since mid-May…Year-over-year rent growth in Atlanta is now outpacing the national average….”

James Kobal, Commercial Realtor
Coldwell Banker Commercial Metro Brokers
James.Kobal@CBCMetroBrokers.com | (M) 678.993.4951

Great News – Buying and Selling Commercial Real Estate Can Still Benefit Buyers and Sellers in Today’s Atlanta Covid19 Market

James Kobal – Coldwell Banker Commercial Metro Brokers
(E) James.Kobal@CBCMetroBrokers.com | (M) 678.993.4951

Great News? Atlanta is stronger than ever, a reality is confined to areas experiencing population growth, even though we deal with the accumulating stress of Covid19 and sheltering in place. Here in Atlanta we can do commercial real estate transactions in which both parties simultaneously win.

Great News in Face of Reality –
People still want and can make money from investing in and selling commercial real estate. In Georgia and particularly Atlanta, the opportunities are ripe with growth. Atlanta’s attraction continues to grow as evidenced by a strong job market, and apartment leasing increasing to highest levels since October 2019.

Reality Snapshot – Bad News Now – Great News Future
This morning, I caught up with a property manager of a well-known development in Metro Atlanta. Great news is that none of the tenants have asked for rent relief, and new ones have not postponed moving into the space. Bad news is that there are no pending deals, or at least that ones they can disclose. Such hesitancy in moving into new office mirrors what is happening in the residential condominium market, people are afraid to move into new confined quarters, but will do so once they feel the environment is safe. Although the office market for new leasing activity has slowed, it does not mean buyers can purchase or lease office properties at bargain properties. Demand for office space remains, as New York Magazine reported on July 29th.

Midtown Atlanta Skyline

Winning for Buyers and Sellers – How
1. Reasonable Expectations – Sellers need to understand that we are not pre-Covid19 levels, and thus cannot ask for such prices. Buyers need to understand that, except in distressed situations, sellers do not need to sell.
2. Educating Out-of-Georgia Buyers – Georgia’s economy continues to grow, unlike some other states. Atlanta is the strongest city in the state for corporate relocation and one of top-5 nationally for it. Therefore, low offers will probably be dismissed out of hand.
3. Analyzing the Market Situation – Before putting a property on the market or buying one, thoroughly know what is happening. Ask your commercial realtor to do their homework on comparable and neighboring properties. Contact me, James Kobal at Coldwell Banker Commercial Metro Brokers, James.Kobal@CBCMetrobrokers.com, (M) 678.993.4951.
4. Value for Buyer and Seller – Show the financial benefit for the buyer and seller, and what is the cost of waiting.

Atlanta and all of Georgia Stronger Than Covid – Real Estate, Jobs, Investments

Atlanta and Georgia have been “slobernockered” by Covid, as John Madden would say, but still we are stronger than the disease and the numbers prove it.

Atlanta stands out from the competition about its future, especially as we continue to deal with the nightmare of Covid19, both with residential and commercial real estate market, and continued job and investment growth. Now, updated two days later on August 7th, is great commercial real estate and job news. When it comes to industrial construction, as CoStar reported, Atlanta ranks 2nd. As for jobs, Georgia added 3,629 and $574 million in new investments.

Focusing on residential real estate – Atlanta House numbers -it has been a great recovery from March through July 2020 and solid for a normal situation – The numbers are indisputably strong.

Without Question, the future of Atlanta remains bright. One just has to look at the housing market, specifically houses. The brightness really shines when you look at year-over-year statistics for the number of units sold. Both Buckhead Atlanta and Vinings distinguished their strengths in different ways, price and number of houses sold for consecutive months.

Residential and Commercial Real Estate Working Together – in Vinings

Buckhead Atlanta remains, justifiably, the iconic neighborhood to those outside of Atlanta, and year-over-year justified this view. For the month of July, 2019 to 2020, the number houses sold remained the same at 66. This market’s strength rests in the average increased sales prices for June ($162,172) and July ($208, 341) in the 30327 and 30305 zip codes.

Vinings and Midtown Atlanta further showed how strong the desire is for houses, especially greater personal space with normal social distancing. Leading the biggest gain was Vinings at 80% in June with sales almost doubling from 5 to 9. Better yet are July’s numbers, 100% increase of 7 to 14, and sales days on market dropping 44%. June’s average sales price trailed 2019s by approximately $38,000 and then surpassed last July’s by $90,000.

Midtown’s sales increased in June by 71% from 7 to 12, and 60% in July from 10 to 16. As for increased average sales price, there was a month’s delay in 2020 numbers surpassing 2019s. July 2020 outperformed 2019 by $131,673. Days on market remained relatively consistent with Buckhead Atlanta’s numbers.

When it comes to condominium and town home sales, 2020 numbers lag behind 2019s. This should be expected. The need for social distance and desire to have personal outdoor space, as a result of the quarantine, have not bode well for these sales. When will the trend reverse itself? I guess when people feel comfortable or are allowed to go back into an office, and other public spaces at pre-virus levels.

Great News About Atlanta Real Estate – Feelings Are Confirmed – Re-Opening of Georgia Had Dramatic Effect

May 17, 2020
Back on April 27, 2020 I predicted and posted that the Atlanta housing market would come back strong. Well, it definitely has, and the number of new listings as recorded by the First Multiple Listing Service support this fact.

Jubilant Feeling of Georgia Re-Opening Confirmed – First Weekend of May
New listings for both houses and attached homes (condominiums and townhomes) saw their biggest increase the weekend that Georgia Governor re-opened the state. Houses saw a 32.7% increase in new listings while attached homes experienced an 81.5% increase.

Condominium Listings Leading The Way – 218% Increase
As you can imagine with all the precautions and concerns about contracting Covid-19, attached home listings were dramatically lower than house ones from the end of March of until the May 1st re-opening. During this gloomy period, there were 193 new listings, and now since approximately May 1st, 420 new ones. Count as that as a 218% increase homes coming on the market. Admittedly, these numbers still languish compared to house ones, as 506 houses were added to the market at this time.

Line of Delineation -Weeks of April 19th – 25th & April 26th-May 2nd
The number of houses coming to the market stayed in the weekly range of 102-109 prior to April 26th. Since then, the lowest number has been 154 last week and jumped to 194 for this one, a 25% increase. For condominiums and town homes until the 26th, numbers fluctuated in the range of 56 to 79. Now, as of the line of delineation, the lowest number was the weekend Georgia re-opened, 118 units. Since then, the listings have increased to 143 and now 159 for this past week.

House Market Retaining Strength –
Its second highest growth in the number of listings took place this past weekend at 25.9%, after a slight dip 3.4%. That hiccup followed a 32.7% increase during the weekend of the re-opening.

Buckhead Atlanta and Midtown Atlanta Markets –
They have followed the same patterns as the overall Atlanta ones.

Why Invest in Atlanta Commercial Real Estate

Rising up from the ashes, Atlanta proudly displays “The Phoenix” on its flag. Scrap the original reason for the symbol, but think about the goal of the city, then and now, a world-class city. 10 years ago, commercial real estate investors looked at Atlanta as a 2nd tier market. Now, it is considered a primary and safe one.

  1. Film Industry – Record-Breaking $2.9 Billion invested in Georgia
    – $9.2 Billion in total wages
    – 391 film and television productions in Georgia
    (Website just launched on March 12, 2020)
  2. Georgia, #1 state in which to do business, seven years in a row, as ranked by www.AreaDevelopment.com.
  3. Technology Hub , aka “Transaction Alley” – 70% of all payment transactions take place in Atlanta.
    – $1.1 billion invested in venture capital funding
    (Source: www.News.Crunchbase.com)
  4. 3.1% Unemployment Rate
  5. 9,800 new jobs added in January
  6. 3. Technology hub of the East. Google just announced it is adding 500 more jobs to Atlanta.
  7. Fortune 500 Companies – Home to 16, and the number will grow.
  8. 4. Population growth was 4th highest, nationally from 2017 to 2019.
  9. Georgia Credit rating of AAA
  10. Atlanta Credit Rating of AA

6 Tips to Sell Your Home Before the End of the Year

See The 6 Tips to Sell Your Home Before the End of the Year starting in the next paragraph.

Source: RISMEDIA – Thursday September 19, 2019 – (TNS) – In recent years, sellers have called the shots in home-buying negotiations. They’ve had plenty of leverage, too, thanks to surges in buyer demand, tight inventory and soaring home prices in many top markets around the country.

But we all know that the housing market is a cyclical one. Pricing and demand that goes up eventually goes down, and that hot summer market often cools by the time winter rears its chilly head.

If you’re needing to sell a house and can’t wait for next year’s warm-weather sales surge, you’ll need to act fast. To get to the closing table sooner rather than later, sellers may need help to adjust their expectations and approach. Here are six (6) important steps you can take now to sell your home before the new year is here.

  1. Rely on Comps – Not Emotion – to set a realistic asking price –
    First things first. Experts say you’ll want to jump into the housing market with a realistic asking price that has the potential to stick. This part can be hard for sellers to wrap their heads around since many want to “test the market” with a higher sales price knowing they can drop it later. This approach, however, is a mistake, says Chicago real estate agent David Cahill.
    “If your home is priced too high, it can be very difficult to overcome, even when you eventually reduce the price,” he says.

    This is one area where you may want your agent to lead the way. Cahill says a good real estate [- the best in Atlanta and around the globe being Berkshire Hathaway HomeServices-] will do a comparative market analysis that helps you price your home based on recent comparable sales in your area – not just hopes and dreams.

    The best agents [- Berkshire Hathaway HomeServices -] will even go the extra mile to find out the prices of comparable homes with a recent or pending sale in process, he says.

    You’re paying your agent for their professional advice and expertise, so when they suggest a sales price based on mountains of research, you should listen.
  2. Ask Your gent for “first look” Feedback –
    Homeowners hoping to unload their properties by year’s end will need to enter the market with their best foot forward. This means having a house that is easy to sell and free of glaring problems.

    Michael Kelczewski, a real estate agent in the Greater Philadelphia area, says you should not only ask for real estate agent feedback but review all their notes — both positive and critical. It’s also a good idea to have your agent gather buyers feedback from people who tour your property. (Note: Maker sure they are serious buyers. You do not want feedback on a steak house from a vegetarian.)

    Your real estate agent – Berkshire Hathaway HomeServices – may be able to point out defects you’ve overlooked like forgotten windows with cracked seals or the fact that your teenager has heavy metal posters plastered wall to wall. Or perhaps they’ll remind you that most people want to park in their garage instead of using it to store boxes of photos and old clothing.

    Consider agent feedback carefully and implement their suggested changes to potentially avoid losing out on a sale due to minor issues.


  3. Clean, Organize and Declutter
    It’s possible your agent will advise you to take down family photos and clear out your closets right away, but you should make time for a major cleanup, independent of your Berkshire Hathaway’s agent input.

    Cahill says you should “do everything within your budget to ensure your home gives a great first impression.” For example, give your front door a fresh coat of paint, trim back overgrown shrubs and keep your lawn in tip-top shape.

    While your home is on the market, the interior should also be clean and ready for a last-minute showing at all times. Cahill says you should start by removing clutter, getting rid of any oversized furniture and taking down busy decorations.

    “Rent a storage unit if you need more space,” he says.

    Stay on top of cleanliness by taking time to wipe down counters, sweep floors and touch up bathrooms every day. Nobody wants to buy a dirty house.

    4. Consider Hiring a Professional Stager –
    If you have the cleaning part down pat but need help making your home visually appealing, you can also consider hiring a professional stager, Cahill says. Home stagers have furniture, art and decor – an important consideration for anyone, but especially if your home feels especially dated.

    Does staging work? Most experts would say it does. In fact, a recent study from the National Association of REALTORS(R) showed that 83 percent of buyer’s agents said staging helps helps their clients envision living in that specific home. Also, 28 percent of seller’s agents said they’ve staged all of selling clients’ homes before putting them on the market. However, 13 percent reported staging homes only if those properties were difficult to sell otherwise.

    5. Spring for Professional Photos and Video –
    Where potential buyers perused the local newspaper for new-home listings decades ago, pretty much all home marketing is done online now – either through multiple listing services (MLSs), real estate websites, email marketing or a combination of all these avenues.

    Susan Bozinovic, a REALTOR (R) in Troy Michigan, says this is why quality pictures are crucial if you hope to achieve a quick sale. Hire a photographer to take high-quality pictures and consider having your real estate agent’s office create a marketing video, she says.

    Drone photography might be an important factor to sell a sprawling property with land or a ton of outdoor features, she adds.

    Bozinovic also emphasizes the importance of social media marketing – especially on Facebook.

    “I found that running ads on the Facebook platform is superior to any other social media space because the audience can be targeted very specifically.” (Note: Facebook removed demographic targeting due to fair housing laws.)
    LinkedIn is better: 1. Hashtags make your listing easier to find,
    2. LinkedIn is not cluttered with garbage.
    3. Your posts appear in real time.


    If you’re hoping to spread the news of your home for sale far and wide, it may also help to work with a real estate agent who has knowledge of social media marketing to get more eyeballs on your virtual listing.

    6. Get an Optional Pre-Sale Home Inspection
    Never assume your home is in perfect physical condition; take time to make sure. Paying for a home inspection upfront is typically a safe bet. With prior knowledge of issues like missing shingles on your roof or faulty electrical work, for example, you can buy time to fix these problems before they become a problem.

    Cahill also says that hiring a home inspector to conduct a thorough inspection before you list your home may “inspire greater confidence in your home’s condition among potential buyers.”

    This is even true though most savvy buyers will likely hire their own inspector.

    Also note that, if you take time to fix big problems discovered in an inspection before a sale is underway, the negotiation process could be “short and sweet,” Cahill says.

    Bottom Line
    A speedy home sale could be in your future if you take steps to avoid common problems that turn off potential buyers. This includes making sure your home is beautiful and clean, but also means uncovering major defects or repairs needs before someone else does.

    There’s still plenty of time to get to the closing table before the end of the year. Working with an experienced REALTOR (R) who knows the local market trends, and can help you set a realistic price are key pieces to the puzzle.

    Thank you for reading this article to see the following please click here: (Soon to be updated with new contact information.)



Top Atlanta Real Estate Articles – August 12th – 19th

Here are the Top 7 Atlanta real estate articles for August 12th through 19th.

Buckhead Atlanta: “Buckhead Atlanta Being Redefined – Progressing and Preserving Its Heritage” Source: James Kobal, Berkshire Hathaway HomeServices Georgia Properties

What Will $3500 Rent You in Midtown [Atlanta] Today (Source: Hoodline.com)

Kirkwood: “Before construction launches, developers planning huge pop-up at Pratt Pullman District” Source: Atlanta Curbed

Buckhead Atlanta: “Mixed-use development with luxury condos, hotel planned for Buckhead” (Source: Northside Neighbor)

Atlanta Apartments: “Rhode Island Investor Sells Two Atlanta Apartment Communities” (Source: CoStar)

Old Fourth Ward: “Old Fourth Ward townhome project replacing former kids’ academy has launched,” (Source: Atlanta Curbed)

Recession DOES NOT Equal Housing Crisis Atlanta continues to attract so many companies (James Kobal) that we will not feel it is much as other cities. (Source: Keeping Current Matters)

Buckhead Atlanta House Market Is Strong

Buckhead Atlanta House Market Is Strong –
Last month I posed the question as to which market was stronger, Buckhead Atlanta or Vinings. After comparing the last two months, unequivocally, the race is even. Let’s keep track for the rest of the summer months, including October. (Here in Atlanta, we have two summer endings: 1. Kids go back to school at the beginning of August, 2. College Football begins the Thursday before Labor Day, and 3. October when we starting wearing jackets.)

Buckhead Atlanta, just by the single-family-home stats, blows away Vinings. Across the board, as what happened for Vinings in May, the Buckhead market improved for sales price (+24%), Days on Market (-10%), and Units Sold (+5%). Vinings only had 4 sales in June of this year, and 6 during the last one. (Must be something in the Chattahoochee for June sales.)

When it comes to the condominium / town home (attached) market , we have some mixed numbers. Depending on what statistics mean the most to you, the Buckhead Atlanta or Vinings attached market will be stronger in your opinion. If you look at sales price, Buckhead Atlanta again blows away Vinings. In the former, the average sales price increased by 44% while they decreased by 9% in Vinings. For units sold and average days on the market, Vinings retains the lead.

For more information about how to get your home sold for the most amount of money in the shortest period of time, please contact me at James.Kobal@BHHSGeorgia.com and (M) 678.993.4951. If just wondering about your home’s value, please click here.