Archive for category State of Real Estate Market

Real Estate Indicator Tool: Case-Shiller Index for individual properties

Posted by thunsicker in Data and Statistics, State of Real Estate Market, Vinings on August 15, 2011

This Vinings home is listed at $575,000, which is a price we determined using the Case-Schiller Index report I can run on an individual property in metro Atlanta.

This Vinings home was listed at $575,000, which is a price we determined using the Case-Schiller Index report I can run on an individual property in metro Atlanta.

I have a listing in Vinings now that has an interesting real life example of value, and how the Case-Shiller Index has valued it over the years since they purchased it.

My clients purchased this home in August of 2004 for $677,500 and the home in August of 2011 is currently on the market for $575,000.

It is hard for people trading down, but this client is trading up and realistic about the market.

It can be difficult for most clients to understand this concept of the devaluation of our properties, but this is a saavy client in the financial industry and they completely understand the nature of our real estate market in metro Atlanta.  These clients are  looking to trade up, so they know they’ll reap the benefits of the depressed pricing on the purchase side.

The tax assessment on this home is still $623,550 and I’m sure many other benchmarks would show a higher value, but we’re ready to sell and priced right.

A Case-Shiller study is a great analysis to do on any purchase to help determine the current fair market value. As a professional REALTOR, I have many data-oriented tools like these at my disposal.  Combined with my experience in the market, I use them to help my clients determine the right price to pay (or to list) for a home in this fluctuating real estate market.

An individual Case Schiller Index report for a Tina Hunsicker's real estate client in Vinings (Atlanta).

An individual Case Schiller Index report for a Tina Hunsicker’s real estate client in Vinings (Atlanta).

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Healthy inventory levels in Buckhead real estate market – July 2011

Posted by thunsicker in Buckhead, Data and Statistics, State of Real Estate Market on August 3, 2011

Is the Buckhead housing inventory sitting at a healthy rate?

Healthy inventory is defined as being under 18 months of homes or only enough homes to sell in that amount of time.

In the chart below, we see what the inventory looks like for homes for sale versus sold in the Buckhead zip code of 30327.

Looking at our current levels in 30327, we have approximately 12 months of inventory, so if sales remain constant this inventory should turn over in a year which is great news for Buckhead real estate.

Of course, this all varies by price point.  At one point in the past couple of years, we had over 4 years of inventory over $2M in Buckhead. So it’s always best to look at the inventory levels in your particular price point when contemplating a sale.

One of things I’ve noticed this summer is that the banks don’t seem to have the large “shadow” inventory waiting to come on the market that the news has reported.  I’ve seen articles talking about this slowdown and we may yet have another influx of this inventory, but there has been a dramatic decline of bank owned homes listed in Buckhead recently.


*All reports are published July 2011, based on data available at the end of June 2011. All reports presented are based on data supplied by FMLS. FMLS does not guarantee or is not in anyway responsible for its accuracy. Data maintained by FMLS may not reflect all real estate activities in the market. Information deemed reliable but not guaranteed.

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Vinings real estate homes sold and for sale (inventory as of July 2011)

Posted by thunsicker in Data and Statistics, State of Real Estate Market, Vinings on August 2, 2011

I’m posting data today on two of the many residential real estate areas in Atlanta that I follow.  I follow many more, however the target area for this blog is 30327 and 30339.  I’m glad to post additional zip codes on request and can narrow the pricing criteria to show traffic in a more specific market.
You can read national press and even Atlanta press and real estate is LOCAL, so by looking a the specific data for an area and a price range you can get the true picture.  This chart is for Atlanta zip code 30339 which is inside the perimeter, and is called Vinings.

What it shows to me is the inventory is really not moving.  National news talked about stimulus last year and how it helped real estate for a short time.  The stimulus was geared toward first time homeowners and with the average sales prices in Vinings and Buckhead zip codes 30339 and 30327 areas being well above first-time homeowner price points, there was little impact from that program.

Inventory has dipped slightly in Vinings but sales are still down about 1/2 of what they were even in 2010.  Something to consider about seeing decreased sales is that it may mean we’ll still see prices dropping in the Vinings area until we get a balance of inventory and sales.  A healthy market is up to 18 months of inventory; currently in Vinings, we have over two years of standing inventory.

 

 

Data source: Trendgraphix. *All reports are published July 2011, based on data available at the end of June 2011. All reports presented are based on data supplied by FMLS. FMLS does not guarantee or is not in anyway responsible for its accuracy. Data maintained by FMLS may not reflect all real estate activities in the market. Information deemed reliable but not guaranteed.

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