Buckhead Condo Market Update - It's Better Than the Overall Condo Market
Here is a little summary I just emailed to a client looking to purchase a second home (condo in Buckhead). I thought the stats were interesting enough to post here so below is almost a direct copy of the email I sent. Please visit our Buckhead real estate page if you are interested in viewing homes and condos in Buckhead:
I’m only looking at 2 bedroom condos which represent the largest and most popular segment and I’m only looking at Buckhead. People that want Buckhead typically do not want Midtown or other areas so I want to make sure I don’t get results outside of the relevant market – you could make the case that it is necessary and on some level I agree so I’ve also included the overall market so that we can draw some relevant comparisons. I’ve separated them out so we can isolate the area. Buckhead is outperforming the greater market as you will see from the stats below. Looking only at the stats, you would not say that it is outperforming the entire market, however, the difference in price points is so significant that although it is under performing statistically, it would be impossible to perform as well as the greater market. The fact that it is so close indicates to me that it is actually a stronger segment than the overall condo market.
Buckhead 2 bed/2 bath:
- Active listings - 495; average price - $436,919
Under contract listings - 61; average price - $281,933
Sold listings last 60 days (November & December) - 65; average price - $231,404
% Pending/Active: 12.3%
That’s 32.5 sales per month or a 15+ month supply. Things could definitely be worse although this isn't what we would historically consider to be good. The glaring disparity is between what is listed for sale and what is under contract and selling. Everyone except sellers seem to understand what market value is....
All 2 beds/2baths:
- Active listings – 3609; average price - $209,365
Under contract – 472; average price - $160,875
Sold listings (November & December) – 580; average price - $141,075
% Pending/Active: 13.1%
That’s 290 sales per month or a 12+ month supply...
*Note – for this comparison, I did not use under contract homes in determining the inventory levels (absorption rate)
**Another note - Although this is only for the 2 bedroom segment, it still represents what is happening in Buckhead and especially compared to the overall market. ! bedroom condos - no matter where you are in Metro Atlanta right now are in bad shape. However, if you have a 2 or 3 bedroom condo, you could sell if you priced it correctly.