In the city of Atlanta, Georgia, $242,100 is the median home value. 13 % is the amount that the value of homes has increased in Atlanta in the last year. It has been forecasted that 7.4 percent is the amount the home value will increase in the following year.
In Atlanta, per square foot, the list cost median is $238. The Metro Area of Atlanta-Sandy Springs-Roswell has a much lower per square foot list cost median of $125.
In Atlanta, $324,900 is the house cost median for houses now listed. For houses that have been sold, $223,500 is the cost median.
In Atlanta, GA $1,776 is the rent cost median. The Metro Area of Atlanta-Sandy Springs-Roswell has a rent cost median which is less. It’s $1,495.
When it comes to the real estate economy, one important ingredient is the foreclosure rate. The lower the foreclosure rate, the higher the value of real estate. On the other hand, the higher the rate of foreclosure the lower the value of real estate.
If a particular area of the country has a super-high foreclosure rate, the value of homes could sink in that area. If in much of the United States there is a super-high foreclosure rate, we could be heading into a recession.
There is a first thing that happens a homeowner is heading towards foreclosure. It is called mortgage delinquency. How is mortgage delinquency defined? It is a condition in which the owner of a house fails to pay their mortgage payment.
Atlanta has 1.4 percent of its homeowners who are delinquent on their mortgages. The United States has a higher mortgage delinquency rate of 1.6 percent of its homeowners being delinquent on their mortgages.
The recession of 2008 had a dire impact on the economy of the United States as well as the economy on the whole in the United States. One very negative effect was that the home value dropped more than 20% in the United States.
This loss has lingered on causing so many homeowners to now be underwater regarding their mortgages. What does it mean for a homeowner to experience being underwater on a mortgage? It means that the debt they have on their mortgage exceeds the value of their home.
As far as homeowners go in the city of Atlanta, 19.5% are currently underwater on their mortgages. The Atlanta-Sandy Springs-Roswell Metro Area has a lower mortgage delinquency rate of 12.2%.
Let’s go on to the area of commercial real estate. We are going to look at a multifamily purchase in Atlanta.
A multifamily investment company named Cortland Partners bought a multifamily property for $156 million. These are luxury apartments at $293,000 per unit. It was sold by the Braves Development Co. and Pollack Shores.
The 531 unit property is located at The Battery Atlanta, a hot location. The Atlanta Braves fans come to Battery, Atlanta area before the games and after the games. It has 4 retail stores and nine restaurants, as well as a venue for music.
For the year 2018, this purchase is said to be the second most costly multifamily purchase. Steven DeFrancis (Cortland CEO) sees [the Battery] as being an unusual asset that is located in a very exciting part of the city of Atlanta.
Cortland has a particular strategy that goes beyond value-add. They find properties in iconic areas in which outsized growth will be the result according to their research.
This strategy has proven itself out in another multifamily complex they own located in the Cumberland/Galleria district. The location is the home for the stadium. Renters and investors want to be located close to entertainment and shopping around and in SunTrust Park. They are rapidly buying units.
Vacancy plummeting 130 basis points in the neighborhood has been a factor in above-metro-average growth of rent during the last 4 quarters.
The Real Median Annual Household Income for Atlanta Georgia is $62,613.
To search for Atlanta multifamily housing real-estate for sale, go to http://www.loopnet.com/Apartment-Buildings-For-Sale/. Also, for an additional source to get additional knowledge on Atlanta multifamily housing, go to http://www.biggerpockets.com/
Apartment Loan Store is proud to serve the entire Greater Atlanta area:
- Druid Hills
- Gresham Park
- North Decatur
- East Point
- North Druid Hills
- Belvedere Park
- College Park
- North Atlanta
- Forest Park
- Sandy Springs