Home listings have increased dramatically across Georgia, leading to a slowdown in sales and leveling of pricing that's forcing sellers to face a new reality.
The number of active listings has risen steadily over the past 12 months to 40,422 in March, according to the Georgia Association of Realtors. That's a 42.2% jump from a year earlier, according to the GAR.
New listings totaled 19,788, marking a 20% increase from the same period a year ago, while the average number of days on market increased to 58 from 45 a year ago, the Realtors association said.
Meanwhile, Georgia posted exactly 10,000 sales in March, down 7.5% from March 2024. The median sales price of $360,000 inched up 0.8% from the prior year. The data combines single-family homes, townhouses and condominiums.
The latest figures are more evidence of a shifting market, and sellers need to accept that, according to Shannon Watkins, broker-owner of Watkins Real Estate Associates in Stockbridge, Georgia.
"Sellers still believe we're in that delightful COVID market, when you could list your house for a high price, no matter what it looked like," Watkins said in an interview.
But economic uncertainty, too many listings and a surplus of overpriced homes in need of work have combined to give buyers the upper hand, she said.
Niche markets do well
"Sellers need to know that buyers are looking for move-in-ready homes," Watkins said.
Still, some niche markets are performing well. For instance, neighborhoods along Atlanta's loop of trails, parks and future transit known as the Beltline remain sought-after, Watkins noted. In Jasper, Georgia, about 50 miles north of Atlanta, her firm listed a move-in-ready home for sale, and it went under contract in three days. It also has a backup offer over list price, she said.
In the city of Atlanta, the median sale price is hovering near $420,000, up 1% from a year ago, according to Homes.com data. Nearly six out of every 10 Atlanta residents are renters, the data shows.
The Atlanta metropolitan area ranks eighth nationally in numeric population growth from 2023 to 2024, having added more than 75,100 residents in that period, according to the latest U.S. Census figures. The addition of new residents typically correlates to increased demand for housing.
After a pause in the wake of the pandemic, companies are again planning new locations in the Atlanta region, noted Madelyn Bearn, associate director of market analytics for Homes.com and CoStar. They include Duracell, a company planning to invest $56 million in a new research-and-development headquarters near Georgia Tech; TriNet, a human resources firm that plans to add 750 jobs in Dunwoody, Georgia; and AIG, the insurance giant that said it will establish an innovation hub in Brookhaven, Georgia.
"Newcomers are seeking lower living and business costs compared to East and West Coast markets," Bearn said in an email. "Part of the draw is jobs; metro Atlanta's employment has grown at about double the rate of the national average since February 2020. The region has become known as a corporate relocation magnet."