Houses across the country are selling twice as fast in early 2021 as they did in early 2020. According to the National Association of Realtors®, the average U.S. home in January 2020 took 43 days to sell. In January 2021, that window was down to just 21 days.
All over the country, we’re seeing hot seller’s markets where buyers are competing for a lower-than-normal inventory of available homes. Georgia is not exempt from these shortened sales periods. Here’s how long it currently takes to sell a house in Georgia.
Factors that Determine How Long It Takes to Sell a House
The time it takes to sell a house is influenced by the classic supply and demand. As more buyers compete for fewer houses, homes sell faster.
There is strong demand from buyers in Georgia due to:
Historically low interest rates
Low cost of living
Warm weather (at least for buyers relocating from the north after another hard winter)
Neighborhood factors like safety, walkability, well-performing schools, and well-maintained homes also factor into the time it takes to sell a home. And of course, the condition and location of each unique house also play a part. The more desirable the house is, the more buyers will want it, and the faster it will sell.
How Long Does It Take to Sell a House in Georgia?
According to Redfin, in February of 2021, it took around 30 days to sell a house in Georgia. Compare that to February of 2020, when it took around 67 days for a house to sell in Georgia. Homes are currently selling twice as fast as last year.
With Georgia houses selling in under a month, many buyers and sellers are wondering if bidding wars are driving offer prices above the listing price. As of February 2021, 33.9% of Georgia houses sold for more than their asking price. The average sale price isn’t exceeding the average list price yet. The average Georgia house sells for around .9% under the listing price.
The 30 days on the market and the .9% under the list price are just state averages. These figures vary by local market. In Atlanta, for example, it takes around 47 days to sell a house. But in hot Gainesville, it’s a different story.
“[Once] a house is listed, we have multiple showings that same day, and within a few days, it’s under contract," said Katie, a real estate agent on Cheryl Hutchinson’s Team in Gainesville, Georgia. Katie reported that homes started “selling noticeably more quickly in August 2020 and continued strong through the 2020 holiday season” and into spring of 2021.
What this Means for Georgia Buyers
Georgia buyers aren’t seeing the excessive competition that states like California and Texas are experiencing. But there is some competition. So it’s important for Georgia buyers to act quickly when they find a home they like. This is also not the market for making low-ball offers. If you’re serious about getting the house, you’re likely going to need to come very close (or even slightly over) the asking price.
What this Means for Georgia Sellers
In today’s market, Georgia sellers can be fairly sure their home will sell within a few months when they place it on the market. But sellers still need to put in some effort, especially if they want competing offers or an offer over the asking price. Sellers should invest some time in deep-cleaning, refreshing the paint, and improving the curb appeal before listing.
What this Means for Georgia Real Estate Agents
Quick sales are great for real estate agents! Quick sales allow real estate agents to complete more deals in less time. And this means agents have the potential to earn more income in 2021.
Listing agents in Georgia still need to advise their sellers on how to prepare the house to shine when it hits the market. Listing agents also need to have a marketing strategy for reaching local buyers and buyer’s agents.
Buyer’s agents need to help their clients be decisive. Buyer’s agents need to make sure their clients understand the importance of getting pre-approved for a home loan before starting the home search, as well as the importance of taking action when a home meets their criteria.
Have you thought about getting your Georgia real estate license? You could complete the 75-hour real estate course online in less than two weeks. In just a few short months, you could be launching your new real estate career and capitalizing on the hot Georgia real estate market.