Values jump for condos and townhomes

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As the housing market in our area continues to improve, condos and townhomes have made an impressive jump in values as well.

This is significant as condos were hit especially hard during the housing downturn. At the bottom of the market there were so many units available it seemed as if we would have excessive inventory for 10 years but now values are climbing faster than single-family homes.

This is due, in large part, to the limited amount of available inventory right now. Currently, there is just under 2.5 months of available units in all of North Fulton and Forsyth County. With very few new units being built values will continue to rise.

FORSYTH COUNTY

CONDO / TOWNHOME total transactions average sales price median sales price

Jan-June: 2013 118 $184,835 $160,400

change -18% 10% 1%

Jan-June: 2012 139 $166,277 $158,700

NORTH FULTON

CONDO / TOWNHOME total transactions average sales price median sales price

Jan-June: 2013 452 $176,400 $163,750

change 25% 17% 19%

Jan-June: 2012 339 $146,684 $133,000

Comparing sales between January 1st and June 30th for this year and last, average sales prices have jumped 10 percent in Forsyth County and 17 percent in North Fulton. Interestingly, Forsyth County is seeing fewer sales which might normally indicate this market is slowing down but it has more to do with the smaller overall amount of inventory there was to begin with.

Condos have a unique set of challenges for buyers trying to qualify for a loan and with the incredibly strong employment report recently the Fed is looking at slowing their purchases of bonds which will cause interest rates to move even higher.

Now may be the time to strike, if you’re thinking about purchasing a condo or townhome.