The State of Georgia has always been on an upward trajectory. Georgia’s population growth is impressive, and the real estate market holds good appreciation value. Cities like Atlanta, Savannah, Columbus, and Macon have contributed to Georgia earning the distinction as one of the fastest-growing states in the U.S. Low cost of living and abundance of facilities have made the state a rental haven for millennials and professionals.
Trend Forecast before COVID-19 pandemic
- In November 2019 The Federal Reserve cut interest rates enabling prospective buyers to make lucrative investments.
- Presidential Election of 2020 was predicted to have an impact on the housing market.
- Mortgage delinquency (those not paying mortgage) rate of Georgia was at the national average of 1.1 %.
- Home inventory was predicted to fluctuate with a year on year growth of 4.3%.
- Price change of a home over the past five years has been 42%. The affordability of homes has been on a decline but enough to put Georgia in the 18th most affordable state to live in. With an increase in planning for rental income, Georgia looked to cater to young professionals and new families.
- The diversified economy and booming STEM opportunities had poised Georgia to become a millennial haven and one of the top five states to overcome Silicon Valley in technology townships.
But the COVID-19 pandemic crept up on the world and has had a widespread impact on real estate as well. Real estate has seen a decrease in overall sales and new listings with lesser income being earned through rental options like Airbnb.
Current Real Estate Data for Georgia
- Median Percentages & Costs:
- Home value – $206,804.
- List price per square foot – $123.
- Price of homes currently listed – $260,700
- Price of homes sold – $212,500.
- Rent price in Georgia – $1,425.
Trend: Home values have gone up 4.9% over the past year and predict a fall of -1.5% within the next year.
Source: Zillow Home Value Index for the State of Georgia
Real Estate Trend for Georgia 2020-2021
With the unfortunate loss of many jobs, prospective buyers have become ineligible to apply for a mortgage. As a result, homeowners have taken their homes off the market due to the decrease in price values. However, the gloom cast over the real estate market isn’t permanent as there have been many instances of virtual showings and offer acceptances. There is a slight pickup in the real estate grapevine, but it depends on how the rest of the year pans out.
On the bright side, the biggest strength of the Georgia market is the robust economy of the area. Atlanta is home to technology giants and manufacturing mammoths. The all-time low-interest rates have piqued the interest of many buyers keeping the market afloat.
The renewed focus on health and the agreeable weather of the state will invite many people to consider investing in the state and the futuristic opportunities it has to offer. As a result, the state will see an influx of population, and there will always be a demand for homes. But the question remains whether the number of listings will increase to create a wider choice for the buyer’s market.
Think and leap
Real estate and financial decisions should always be made in conversation with experts. It’s imperative to consult with Fix-n-Flip companies like Relotz that keep an eye on the everyday market to help you make a sound decision.