Atlanta’s economy is like an onion.
We’ve seen the wrinkly, papery casing in the form of job losses; about 67,300 of them in a year. But peel that back and you start to see layer after layer of optimistic news. In a study released May 7 by Metrostudy, a provider of market information for the housing industry, the good news is outweighing the bad in the Atlanta real estate market. Some key points from the study:
- Though Atlanta has suffered job losses, 14,000 new jobs were added in the first quarter of 2010.
- Housing starts increased 42% in the first quarter of 2010, compare to the first quarter of 2009.
- Housing inventory is down 40% in the last year.
- Prices on Atlanta single family homes and Atlanta townhomes are down 10% from last year.
With the addition of new jobs, we will also see an increase in consumer confidence. Those who feared lay-offs or were laid off will be in a more stable job market and ready to enter the housing market.
Though housing starts were up, they are still down from previous years. This combined with lower inventory means the housing market is on its way out of heavy saturation. Also, lower home prices are making properties affordable for a wider audience, though the study warns that now is the time to buy. Home prices have stabilized and will only begin to rise.