2011 will see a repeat of 2010, with a continued decline in prices and an increase in foreclosure and short sales as a percentage of total sales. Appraisals will continue to be a challenge because banks won’t loan money on investments where the value is not well supported by other previous comparable sales.

Overall, metro ATL saw 4% fewer sales in 2010 than in 2009. Becky Babcock’s Team increased our number of sales by 6% during the same time.  The key to selling is pricing at today’s values, marketing properties extensively – especially on the internet, and following up after showings to gauge buyer interest and adjusting the strategy as needed.

The rate of foreclosure continued to outpace the rate of sales in 2010 by a margin of 2 or 3 to 1, with new foreclosures advertised in the newspaper at double to triple the rate of home sales.

In 2010, over half of all sales were foreclosures or short sales, and that trend is expected to grow in 2011.  The Case Shiller report in December 2010 gave metro Atlanta’s market the distinction as the #1 market for a loss in home values in the past 12 months out of the 20 metro areas studied.

As we get closer to the spring market, sellers will see increasing competition from two sources:

(1) Many sellers wait to list in the spring so there is a lot more for buyers to choose from as the listing inventory increases in March-June

(2) Foreclosures typically increase after the holidays as some banks slow down foreclosing on homes and/or putting the already foreclosed homes on the market over the holidays

During the winter months, buyers are more serious, although fewer in number. Prior to spring when there is more competition, it is a good time to evaluate pricing as compared to recent home sales and make sure listings are at current market value.

Lake, Resort and 2nd homes continue to be incredible buys, with values down $100,000 to $200,ooo from recent years.  Buyers interested in lake or mountain getaways with a private water ski late in a gated community should check out http://www.lake-arrowhead-ga.com for the best deals!

The entire MLS for both FMLS and GMLS can be searched at http://www.BeckysRealEstate.com and the specialty site for Woodstock buyers wanting a nice golf, swim and tennis community can search http://www.BradshawFarmHomes.com.