The US real estate market is a constantly evolving landscape, with some regions experiencing rapid growth while others lag behind. One state that has emerged as a particularly attractive market in recent years is Georgia. With a strong economy, thriving job market, and increasing house prices, Georgia has captured the attention of investors and real estate professionals alike.
If you’re interested in learning more about the Georgia real estate market and the opportunities it offers, you’re in the right place. In this blog post, we’ll take a closer look at the driving factors behind Georgia’s growth and highlight some of the top investment markets to watch in 2023.
Whether you’re a seasoned real estate pro or just starting out, this article is an essential read. By gaining a better understanding of what’s fueling Georgia’s rise, you’ll be well-positioned to capitalize on the many opportunities available in this dynamic market. So let’s dive in and explore what makes Georgia such a promising destination for real estate investment.
Overview of the Current Georgia Real Estate Market
The housing market in Georgia has experienced steady growth over the past few years, with house prices steadily increasing and a limited supply of available houses. As of July 2022, the typical property in Georgia was valued at $319,431, representing a YoY increase of 25.6%. However, despite the surge in house prices, the number of properties available for sale has only increased slightly by 1.2% YoY, with 39,388 properties listed for sale in July 2022.
In July 2022, the median house price in Georgia was $367,800, representing a 14% increase compared to the previous year. However, the number of properties sold decreased by 22.8% YoY, with only 12,265 properties sold compared to 15,873 in July of the previous year. The median number of days on the market increased from 17 to 18, indicating a slightly slower pace of house sales.
Looking ahead to 2023, experts predict that the Georgia real estate market will remain highly competitive, especially in the Atlanta area. The Mortgage Bankers Association expects prices to remain the same, while the National Association of Realtors believes prices will still go up, but not as much as before.
The state’s diverse economy is also a significant contributor to the strong real estate market in Georgia. Georgia is home to several large corporations, including Coca-Cola, Delta Air Lines, and Home Depot, which provide employment opportunities for thousands of people. The state’s job growth rate is higher than the national average, and it has a lower cost of living than many other states.
In summary, the 2023 Georgia real estate market is expected to remain competitive and challenging for buyers, with limited supply and steady price increases. Most places in Georgia will have more buyers than sellers, making it a seller’s market especially around Atlanta. However, there are still opportunities for buyers to negotiate with sellers and find properties below list price, particularly outside of the Atlanta area.
3 Factors Driving Growth in the Georgia Real Estate Market
Below are just a few of the many factors that are driving growth in the Georgia real estate market. By understanding these factors, investors and real estate professionals can better predict future trends and capitalize on the vast opportunities presented by this dynamic market.
Population Growth: Georgia is the second-fastest-growing state in the United States since 2010, with a population increase of over 1.1 million people. This growth has led to an increased demand for housing and driven up house prices.
Thriving Economy: Georgia has a thriving economy, with a diverse range of industries, including technology, logistics, and film production. The state’s business-friendly policies and low cost of living have attracted many companies to establish their headquarters in Georgia, creating more jobs and driving population growth.
Low Housing Inventory: Despite the high demand for housing, the inventory of houses for sale in Georgia is relatively low, which has led to a highly competitive market. This has caused house prices to increase at a faster rate, as buyers compete for limited options.
5 Hottest Real Estate Markets in Georgia for 2023
Real estate investment can be a lucrative venture, but choosing the right location is crucial for success. In this section, we have highlighted five cities in Georgia that offer unique opportunities for investment and are projected to experience significant growth in 2023. From bustling urban centers to serene rural settings, these markets provide a diverse range of options to meet your investment needs. With careful consideration and due diligence, investing in real estate in these cities could be a wise financial decision. Explore these locations and discover their potential for long-term returns.
1. Norcross: Atlanta’s Summer Resort
Norcross has been growing rapidly over the past decade, with a population that has nearly doubled. This trend is expected to continue in 2023, making it a prime location for real estate investment. Known as Atlanta’s Summer Resort, Norcross offers residents access to water-based recreation and milder weather than Atlanta.
2. Brookhaven: The Largest City in DeKalb County
Brookhaven is a popular northeast suburb of Atlanta and has become the largest city in DeKalb County, with a population now exceeding 55,000. It’s also home to the NBA’s Atlanta Hawks training facility and Georgia State University, making it an attractive location for young professionals and students.
3. Temple: Growing Population in a Rural Setting
Temple is located about 38 miles east of Atlanta and spans both Carroll and Haralson counties. Despite having only 4,200 residents, the city has seen a 77% population increase since the 2010 census, and continued growth is expected in 2023. Its rural setting and peaceful atmosphere make it an ideal location for those seeking a quieter lifestyle.
4. Sandy Springs: A Suburb on the Rise
Sandy Springs, another Atlanta-area suburb, has experienced significant growth in recent years, with a population now exceeding 108,000 residents. Major employers have been bringing jobs to the area, fueling further population growth. Although it has slightly cooled down since last year, about half of the houses are still selling below the asking price.
5. Winder: A Small Town with Big Potential
Winder is located in Barrow County, Georgia, approximately 50 miles northeast of Atlanta. With a population of 18,300, the city has seen a 30% increase over the past decade, and this trend is expected to continue in 2023. Its small-town feel and affordable housing make it a popular location for families and retirees.
The Bottomline
In conclusion, the Georgia real estate market offers a unique opportunity for real estate investors and professionals seeking high potential returns. With a strong economy, growing population, and low housing inventory, Georgia’s real estate market is expected to continue to thrive in the coming years. By exploring the driving factors behind Georgia’s growth and the top investment markets to watch in 2023, real estate professionals can make informed decisions and capitalize on the vast opportunities presented by this dynamic market.
As hard money lenders, we at Pacific Equity & Loan are well-positioned to help investors start a fix and flip investment in Georgia. By leveraging our expertise and experience in the real estate market, we can help investors navigate the competitive market and identify high potential investment opportunities. Contact us today at (206) 531-2729 to learn more about how we can help you start your real estate investment journey!
Citation
Casale, Steve. “Georgia Real Estate Market: Will It Crash in 2023?” Houzeo Blog, 6 Apr. 2023, www.houzeo.com/blog/georgia-real-estate-market/.
Santarelli, Marco. “Georgia Housing Market: Prices, Trends, Predictions 2022-2023.” Norada Real Estate Investments, 9 Jan. 2023, www.noradarealestate.com/blog/georgia-housing-market/.
“The Fastest Growing Real Estate Markets in Georgia in 2023.” AceableAgent, www.aceableagent.com/blog/fastest-growing-real-estate-markets-georgia/. Accessed 10 May 2023.
