Highland Pointe in Marietta; Should you make a low-ball offer?; Atlanta’s Build to Rent
-This is a transcript from Go Gaddis Radio to listen to the episode click here-> https://on.soundcloud.com/1Q2SQ
Welcome back to Go Gatis Real Estate Radio right here on AM nine 20, the answer. I appreciate you joining us on this Saturday morning in Atlanta. Don't forget we want to connect with you and it is easy. Go to go gatis radio.com. G O G A D D I S radio.com. You can ask questions that we answer on air or off air.
You can make comments, you can push back or challenge anything we say, because I don't believe I have a crystal ball. I don't believe I, I'm writing the gospel here and I don't mind it when people offer their ideas. You can share your ideas with us. You can request your neighborhood be featured in our neighborhood spotlight, and you can subscribe to our podcast.
Why would you wanna subscribe to our podcast? Well, I think everybody should sub subscribe to our podcast. Go to go gatis radio.com. Click on podcast. You can subscribe to our podcast on any major podcasting network. Each week we pick one specific Metro Atlanta neighborhood to call out critical changes over the last three years to help you understand as a homeowner in that neighborhood whether or not you have a particular advantage when it comes to selling your home.
This week we have selected Highland Point, which is in Marietta. Naturally in Cobb County, if you're going 75 North, you get off at Exit 2 67 A turns into Sandy Plains Road. You take that almost all the way up to 92 in the neighborhood. We'll be on the left. Let's take a look at what has happened in that neighborhood over the last three years.
If you're wondering why we do this, we think it is so very important for homeowners in a neighborhood to understand what is going on in a real estate market. Uh, in that neighborhood really at all times. Uh, let, let me back up and say that differently. If you're getting ready to sell your home, uh, or you are concerned with the value of homes in your neighborhood, then I think you should keep yourself up to date and know exactly what's going on in your neighborhood.
There are about 500 homes in the neighborhood. It is a big one. In 2020 21 homes sold and those 21 sales averaged 94 days from the day the home was listed to the day the home went under contract. The average sales price was just under five hundred thousand four hundred ninety six thousand five hundred to be exact low sales price in the neighborhood.
Three 90, uh, excuse me, 3 0 9 high sales price in the neighborhood. 815,200. And $50 Home sold for 97.9% of their original list price or final list price, which means sellers discounted houses in the neighborhood, 2.1% in 2021, there were 32 homes that sold. Now in 500 homes, we would expect there to be about 35, 30 to 35 home sales on average.
You say, why is that six to 7%? 32 homes? That's a lot more than 21 homes. In 2020. Those homes took an average of 23 days from listening to contract sales prices went up $120,000. Year over year to $614,000. Those ranged from a low of 395,000 up to a high of 1.374 million homes in the neighborhood, sold for, for 1.6% higher than their list price.
And in 22 2020 2 21 home sold same as 2020. Those homes took 23 days from the date they were listed to the date they went under contract that was the same as 2021. Average sales prices increased another $55,000, so sales prices increased 150,000, 2020 to 2021, and then increased another $55,000, 2021 to 2022.
Average sales price, 600. And $71,300. They ranged from a low of 500,000 up to a high of 819,000 homes in 2022, sold for 2% more than they were listed for. Currently, there are four homes available for sale in the neighborhood. What that means is that particular neighborhood, Highland Point in Marietta, has 4.8 months worth of inventory, which means.
If the sales patterns of the last 12 months continue for the next 4.8 months, it will take 4.8 months for all four of those to sell. How do we know that 10 homes sold in the last 365 days? You can do the math. If that trend continues, then it will take 4.8 months. What is 4.8 months? If you have less than four months worth of inventory, we say that's a seller's market.
If you have four or five months worth of inventory, we say that's a balanced market. So that is right in the middle of a balanced market, which means a seller will not have as much of a particular advantage in that subdivision until some of the inventory gets purchased, gets absorbed and taken off the market.
By buyers, the average list price, currently 848,000. That is a big, big, big step up from the 671,000. That's another 170, $180,000 it could be. By the way, we're not comparing apples to apples cuz the four homes listed in there. For sale currently could be way, way, way nicer than the ones who sold in the past.
Again, I told you about 500 homes in the neighborhood. Listen to this. In 2012, the average sales price of a home in that neighborhood, 313,000, remember twenty twenty two, six hundred and seventy 1000, which means those 500 homeowners have increased the equity in their home. 178 million 178 million. The elementary school is Davis.
The middle school is Mabry, and the high school is Lasseter. Lasseter gets a School Chimp score of 96. If you're the type of parent who doesn't want to monkey around with your kids' education or the school's effect on home values, I say you need a School Chimp report, go to Go gatis radio.com again, go gatis radio.com.
Click on School Chimp. Put in a little information the school district you'd like to compare and whether or not you'd like to compare it to one other school or the average of all other Metro Atlanta public high schools, and it will spit out for you per, in this particular case, if you were in the Lasseter High School District, it will spit out for you all of the demographic and real estate information and the school score just for that particular school district.
It will give you a ranking of the school from a hundred down to 20. Uh, anything that's a seventies, a c eighties, a B nineties, an A, you know how that works. It will also give you the important demographic information you're looking for. Average age of a home, average household income, average educational attainment, average size of a home in the area.
Just to let you know what your neighbors may look like, not look like to look at them, what the houses your neighbors live in. It may look like and then we give you all of the real estate data, average sales price, days on markets, all of that kind of stuff. School Chimp. Go to Go gatis radio.com, click on School Chimp.
If you're searching for home for sale and you're having trouble finding your home, you probably are searching on the wrong website. I suggest you search. Sure. mls.com. S U R E M L s.com, S U R E mls.com. Are you in the market to buy a home this year in metro Atlanta, but you're not sure where to start with your offer?
Are you concerned that if the offer is below the list price, you'll feel like a loser because it. Might automatically be rejected by the seller. The reality is there are still many, many opportunities for buyers to be winners in today's market. You just have to kind of know what you're looking for.
Stephanie and Alpharetta submitted a question in today's market, is it worth making an offer on a home, even if you're going in below the list price? And the answer is yes. Now, I will tell you, Stephanie, that if you're working with a really good real estate agent, and if you don't have one, I would invite you to call Modern Traditions Realty Group.
That is my real estate firm, 7 7 0 4 9 7 0 0 0 0. And when you're looking at listings, we can tell you. Fairly accurately whether or not there will be any competition for that listing. Um, and we basically call that a demand analysis. So we're looking at the demand of buyers for homes in the area. We can tell, by the way, for all of the.
Uh, homes in a neighborhood or a school district or a city, we can tell what's going on from an average sales price, how long they stay on the market, stuff like that. So we can tell you more than likely whether or not there is multiple offers. And in many cases in today's market, there are no multiple offers.
If you want to make sure that you're the only one at the table, I would suggest you reach out to. Again, modern Traditions Realty Group, we have what's called a Motivated Seller Listing Alert. And so if you're looking for example for Marietta Homes or Roswell Homes, Where you're looking for homes in Lithonia or wherever you're looking for homes, east Point, we can set up a search for you and it will only send you homes where we believe the seller is appropriately motivated to sell their home.
Wouldn't it be nice to only deal with a appropriately motivated sellers? Let's move on to our next segment, and that is Atlanta sees a build to rent boom in 2022 and expects more growth in future years. This is an article from the Atlanta Voice, June the seventh, 2023. Atlanta's bill to rent. Industry is steadily expanding.
The article says and doesn't show signs of stopping anytime soon. The bill to rent is where in investors, in some cases, wall Street investors go in and buy land, and they build single family detached homes. Uh, maybe town homes, but sometimes single family detached homes. They don't build multi-family homes like an apartment building, and they rent those out to, uh, tenants.
The build and rent housing strategy, believe it or not, traces its origins all the way back to the 1980s during the, uh, savings and loan crisis, but the aftermath of the 2008 financial crisis, uh, let developers have the opportunity to begin purchasing foreclosed homes in bulk and transforming them into rental properties.
You know, residents enter long-term leases. The, uh, owners, the landlords provide onsite property management amenities in the neighborhood. And to be honest with you, the profit for developers and investors is quite significant because in many cases, especially in North Atlanta, they're allowed to get enough density where they can make a good return on their investment.
Atlanta specifically is experie growth in the build to rent single family home sector because developers view unused land north of the city's limits as profitable. Like we just said, the permitting and zoning. Uh, you'll find is the case in most markets is very, very attractive, especially in the northern Atlanta market.
Developers then proceed to buy up the unused land north of the city, construct new communities consisting solely of single family rental units and they rent them out. Atlanta's Bill to rent inventory has increased nearly 1500 rental units since 2017. It makes measuring Atlanta 380% increase, which is the second largest five year rate increase out of the 20 metro areas listed.
If you're anything like me, when you first heard about a build to rent neighborhood, you were surprised because I was. If you're looking to sell your home anytime in the next six months, we ask you to take advantage of our seller confidence plan. There are multiple ways to sell your home. You can fix it up.
You can buy your new home before you sell your current home. You can sell your home for cash. But you need to work with somebody you trust who can show you all of the options. Go gatis radio.com or 7 7 0 4 9 7 0 0 0 0. We appreciate you listening into another week's edition of Go Gaddis Real Estate Radio.
We'll be back next Saturday at 9:00 AM Have a great week, Atlanta.
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