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Real estate nearing return to “normal”

realestate

By Ron Barnes
Associate Broker
Prudential Georgia Realty

    At our last meeting of the Pickens County Board of Realtors®, we enjoyed a presentation by Todd Emerson who is the current president of the Atlanta Board. The message is that we are nearing a return to “normal” in real

estate. While Pickens is part of the Atlanta Metro Statistical Market Area, we have a trailing pattern with the heart of that market. The numbers we saw show that our market is about to take a significant positive step. (See Chart)
    The chart notes that all the pricing lines are up by large margins. This is largely because of flushing out the glut of foreclosures that were dragging our prices down. Foreclosures now represent 5.2 percent of the market, compared to over 20 percent a few months ago, a reduction of 45 percent from their peak. That percentage will only account for 1.7 percent in 2014.
    The continuation of rising rents will encourage potential homebuyers to enter the market, along with the number of people now moving out of their parents’ homes. Existing single family home prices are expected to rise 8 percent in 2014. The state economic outlook predicts job growth of 1.8% percent with a 1.3 percent population growth to support the increased demand.
    Another major factor is the projection of mortgage rates for this year, which are expected to rise above 5 percent with decreased federal support in the market. That’s still a very good rate, so those who are serious about saving interest in buying a home will be anxious to enter the marketplace.
    It’s been a long and difficult journey for sellers and those involved in the real estate business, not to mention those who were victims of foreclosure and short sale during the economic crisis. This report is the best news we’ve had in seven years of struggling. Congratulations to those who were savvy enough to buy during this time period, because it appears the bargains are almost at the end. Over the next few months there will still be time to take advantage of the opportunity.
    Please keep those in mind who were dedicated to the business of real estate during the times when there was no low-hanging fruit to pick. This has been a tough and thankless business for some time. Also remember your Board of Realtors® also lobbies for the sake of your rights as well as their own, and not all agents are Realtors®.

    Ron Barnes is a past president of the Pickens County Board of Realtors, currently an associate broker with BHHS Georgia Properties. He can be reached at 678-520-6648 or www.RonBarnesRealEstate.com        Equal Housing Opportunity. Statistics furnished by Trendgraphix and FMLS. Special appreciation to Todd Emerson of the Atlanta Board of Realtors®.

Comments   

pinto colvig
+2 #1 pinto colvig 2014-03-12 16:54
I'm surprised Mr. Barnes isn't still denying there was ever a problem, and the housing-driven recession was nothing but a fabrication concocted by an alarmist media...
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SadSak
0 #2 SadSak 2014-03-14 15:01
Sh-Shh Don't let any tax assessor hear that the real estate market is returning to 'normal'. Assessors 'normal' is to gloat that they've got you over a barrel and can value property wherever because you can do little without spending more in time and $$ than it's worth to get it corrected. The local office also has no problem in failing to notify you that they're coming for a sneak peek, or using their vehicle to push open a closed gate. Maybe the local needs to get rid of that 'I'm special' attitude that precludes ever being wrong, and put some $400,000 back to the taxpayers who paid the bill for 'just a slight error'.

Who needs another another 'splost'
when you've already got a tax office like this.
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Trevs
+1 #3 Trevs 2014-03-19 02:05
Wow, Mr. Barnes sounds so optimistic!
I wish he was just as positive about managing our neighborhood! After all that's what he gets paid to do.
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PioneerTraining
-1 #4 PioneerTraining 2014-04-28 05:07
You're truly well informed and very intelligent. You wrote something that people could understand and made the subject intriguing for everyone. I'm saving this for future use.
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