The number of for sale listings in Atlanta that have either expired or were withdrawn in the last 45 days has seemingly snowballed. Although withdrawals and expireds are typical toward the end of the year, it is counter intuitive given December is one of the best months for real estate closings. Whether it’s for tax purposes or relocation or the other many reasons people move, December can be a BUSY month for real estate. In fact, if the number of residential real estate closings in any given year is divided by 12, there is a good chance it equals the number of closings in December.
Why do agents and sellers take homes off the market in December? Many sellers don’t want their houses available for showing in the time running up to the holidays. Some get discouraged by slower-than-spring market traffic. However, showings are generally of better quality in December and January because nosy neighbors and tire-kickers are distracted by the holidays. Showings are fewer, but of better quality.
The attached chart from the National Association of Realtors illustrates “The Sweet Spot” in the real estate market that occurs every year when homes for sale inventory craters, creating the least competitive environment for sellers any given year. Listings that haven’t sold in the current year come off the market with then intent of going back on the market in the spring. The problem is that those sellers face competition with completely new inventory in the spring which puts further downward pressure on home values.
Beacham & Company, REALTORS has already exceeded its’ 2017 sales as of October. The 12 year-old firm has already enjoyed its best year ever in 2018 as closings are up nearly 20 percent.
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