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2022: What to Expect in the Georgia Real Estate Market
December 8, 2021

2022: What to Expect in the Georgia Real Estate Market

by The CE Shop Team

Are You Ready for Georgia's 2022 Real Estate Market?

After another turbulent year, Georgia’s housing market is poised for continued home value growth in 2022. Even as home values continue to rise, low mortgage rates give prospective homebuyers more buying power. 

With steady demand, low inventory, and rapidly rising home sale prices, real estate agents all across Georgia should gear up for another busy year.

2022 Georgia Real Estate Outlook: Hot Like Hot-Lanta

In October 2021, the average home in the Peach State was priced at $269,441, a 22.4% increase year-over-year (YoY). That figure is expected to increase dramatically as Zillow predicts the market will accelerate, leading to a 10.1% boost within the next year. Despite 2020’s challenges and changes, rising home prices and continued demand are promising signs that 2022 could be very profitable for agents and sellers alike.

The number of home sales across Georgia fell by 3.4% year-over-year in October 2021, and active listings also decreased by 0.9% from 14,050 to 13,899 during that same period. Additionally, 43.3% of homes sold above the list price in 2021, which is a 14.2 point increase year-over-year. Although we’re seeing the number of homes sold above the list price starting to decline since its height in June 2021, prospective buyers are likely to continue sweating it out in this scorching market as we ring in the new year. 

Renters will also be feeling the heat as rent prices have increased 30.0% year-over-year statewide. Atlanta’s rent increased by 4.3%, and rent in Augusta increased by 12.6% year-over-year. 
Increasing rent and home sale prices can’t keep folks from swarming to Georgia. In fact, Georgia ranked as one of the top five states in terms of population growth over the past decade, and it boasts a total population of 10.7 million residents.

According to the latest figures, a total of 0.9% of Georgia mortgages were reported as delinquent in March 2021. So, while buyers scramble, new transactions boom, and more people seek out the sweetness of the Peach State, current homeowners continue to thrive.

Georgia Home Data
Source: Zillow

2021-2022 Georgia Real Estate Market Data

Zillow Home Value Index

$269,441

Home Value Change YoY

+22.4%

One Year Home Values Forecast

+12.8%

Rent Price Change YoY

+30.0%

The Percentage of Homes With Negative Equity

2.1%

Mortgage Delinquency Rate

0.9%

Available Housing Inventory

29,222

Buyer’s or Seller’s Market

Seller’s

Market Insights for Georgia

In October 2021, the Bureau of Labor Statistics reported that Georgia’s unemployment rate was 3.1%, down from 5.9% year-over-year. Georgia sat just above the national unemployment rate of 4.6%, and that difference is likely to broaden as tourism, hospitality, and retail markets around the state return to normalcy. Economic activity often correlates with growth in the real estate industry, and narrowing unemployment rates along with low-interest rates are a positive sign for agents in the year ahead. 

The Peach State is as sweet as its nickname, comprising a plethora of possibilities for residents looking to get outside, enjoy fresh produce year-round, and take in ATL’s influential culture. It also doesn’t hurt that the state ranks highly in many key categories for state power rankings. Here’s how Georgia shakes out in comparison with the rest of the nation:

  • First in business opportunities
  • First in peanut production
  • Eleventh in infrastructure
  • Eleventh in fiscal stability

2022 Real Estate Market Forecast Georgia

The Peach State also sports other attractive features that could positively impact its market in the year ahead. Georgia is a booming economic hub for those with new remote-work positions looking to escape the high taxes, hustle and bustle, and harsh winters of large Northern and Northeastern cities. Expect inventory to remain low, sale prices to stay high, and bidding wars to ensue. Georgia real estate, while still a great investment that affords homeowners a high quality of life, will almost certainly play out to be a strong seller’s market in 2022. 

Overall, 2022 is forecasted to see plenty of real estate transactions, so Georgia agents will need to be at the top of their game. From buyers battling rising prices to sellers fielding multiple offers, there has never been a better time to serve your fellow Georgians.

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