PHOTO CAPTION: This home at 8260 Riverbirch Drive in the Horseshoe Bend neighborhood of Roswell was on the market less than 48 hours and sold for 100% of list price ($425,000).
In retail sales, the day after Thanksgiving marks the start of the holiday shopping season. Real estate has no “day after Thanksgiving,” but it’s generally acknowledged that the peak season begins in the spring when families make plans for the upcoming school year.
We are often asked: when is the absolute best time to list a home for sale? The answer is now. Like, RIGHT NOW.
The top months for closings in real estate are consistently June, July and August (see chart at bottom). Home buyers who are moving for schools are out in force through the end of July and even into early August. In addition, home prices always peak in the summer months. In fact, statistically speaking, now is when you are likely to get the best price for a home for the next 10-12 months because demands drops off in September when families with kids leave the real estate market. Appraisals are generally more favorable this time of year because of peaking demand.
Not all segments of the real estate market adhere to this axiom. Condos are generally immune to seasonal demand fluctuation and the luxury real estate market moves to its own beat altogether. Elections, tax policy, corporate transfers, and perceived value opportunities can influence luxury real estate more so than school calendars.
For the broadest part of the market (below $500,000) however, this summer could be the best selling opportunity in decades. A recent article in The Beacham Insider highlighted the fact that Atlanta housing inventory is less than it was in the year 2000 when the city had two million fewer residents. And National Association of Realtors chief economist Lawrence Yun essentially begged builders to delivery more inventory in his most column in REALTOR Magazine. Yun thinks the nation’s home sales would be 15% higher if there was more homes on the market.
Sellers who put off selling during the Great Recession may “supply” the answer. The average home sales price in Atlanta has recovered from pre-recession levels and for many who were “underwater,” equity has been restored. With multiple offers, offers above list price, historically low interest rates, and a solid local economy that is creating more jobs than people moving to the city, now is clearly the time for sellers to capitalize.
