Selling in Atlanta in a Buyer's Market

I recently read an article from John Adams, who writes for the Atlanta Journal Constitution as an expert in Atlanta real estate, (see his site at www.money99.com for more) and was reminded of the absolute necessity of using current market data in consulting with sellers AND buyers in this tumultuous market. The Atlanta real estate market has devolved from a "metro" market into a "micro" market, meaning that sales trends are varying dramatically throughout the region, even to the subdivision and neighborhood level, and must be evaluated accordingly.

I have found that selling a home in this market is based on three basic must haves - that it must be priced right, it must look good, and it must smell good. Again, evaluating sales data is important to establishing a price point that will get a buyer's attention, and pricing real estate to sell in Atlanta can have nothing to do with what the seller paid originally for the home, what they want to net for the home, or what they think it is worth. Those may seem like harsh words but buyers have too much to choose from, lots of desperate sellers to float offers to, and little patience for overpriced listings that are not in good shape or showing condition.

I have also found and heard stories of many real estate agents who will wow sellers with high prices and inflated expectations about how quickly they will sell your home - in order to obtain another listing. Seller beware! These are precisely the situations that are behind the staggering number of expired and withdrawn listings that have failed to sell in the Atlanta market (approximately 55%-60%). Remember the buyer's market axiom when preparing to sell: your home must be in the top third of value (meaning quality and condition relative to the homes in your area being compared to) and in the bottom third of price to get significant attention and increase the likelihood of a sale. Building in "wiggle room" or negotiating space in unwise at this time, as you will likely scare off an otherwise interested buyer by the higher price, relative to the competition.

It will be interesting to follow what happens in this market as we move forward. I am also receiving some good information about larger market dynamics that will most assuredly affect buyers/sellers down the line, and will pass anything on of value as I receive and make sense of it. Until then...