Atlanta’s Condo Market on the Rebound!
Posted by Nesa on 08/12/09 in Atlanta Condo Market
Here is a great article from the Atlanta Business Chronicle regarding Atlanta’s Condo Market.
“Atlanta’s intown condo market rebounded this year, as auctions, steep discounts and improved consumer confidence fueled sales, according to condominium research firm Haddow & Co.
In the first half of 2009, 572 condos were sold, versus just 66 in the previous six months, Haddow & Co. said.
The turnaround puts the intown market in good position to surpass the 645 sales it posted during all of last year.
Top selling condos were Cosmopolitan at Lindbergh, with 78 sales in the first half of 2009, followed by Element with 68 and Viewpoint Phase I with 42.
Active condo inventory dropped by 1,333 units during the past year because several developments were converted to apartments and construction was stopped on three projects.
New condo development has ground to a halt.
The greatest oversupply remains in the luxury market, Haddow & Co. said.
Trends in the first half included the following:
- Sales were on par with the first half of 2008
- Sales rebounded because of auctions, price discounting, the establishment of a trading price, improved consumer confidence and pent-up demand from “chronic fence sitters.”
- Leasing programs are more prevalent.
”Developers are much more aggressive in offering price discounts,” Haddow & Co. said.
Aqua has cut its prices by almost 49 percent, Haddow & Co. said. Cosmopolitan at Lindbergh reduced its prices by 39 percent and Element cut its prices by 32 percent.
“The thawing out has begun, prompted largely by aggressive price discounts,” Haddow & Co. said, “but condominium demand must rebound more strongly for the market to regain equilibrium.”
tag this