The Real Scoop on Atlanta Real Estate » Uncategorized

Case-Shiller Index Reported March 2012

ATLScoop — Tue, 27 Mar 2012 15:56:48 +0000

The latest Case-Shiller Index was published on March 27, 2012. As always, the index reports on data 60 days in arrears. Therefore, the index reports Metro Atlanta home values for January 2012. So what does the latest index show and what does that mean for home values in metro Atlanta? Before we provide the answer, we want to make two caveats. First, the Case-Shiller index of home values is very different from average sale prices or median homes prices which only reflect what was actually sold in the market. If lower priced homes are selling more, then the average sales price will show a lower value than what market value may be for higher priced properties. According to SmartNumbers, almost 50% of 2011 closed sales are under $100,000 and the normal distribution would be in the 10-15% range. That skews the average sales price and median price lower. The median price is simply the home sales price in the middle of the properties selected. The Case-Shiller Index reports on repeat properties sold and other factors which are generally better indicators of home values. Second, this index reflects the average home values for all of Metro Atlanta. Remember, real estate is local and every market is different. There are some local communities that have held their values reasonably well and others that may continue to decline. Your local Prudential Georgia Realty agent can help you understand the specific metrics in your local market. However, the Case-Shiller Index is a good general indication on what is happening in our market.

Now for the news…. The December index for Atlanta shows a 2.07% decrease in homes values from December 2011. The last five months show a combined 18.2% drop which reflects the fact that short sales & foreclosures are driving down values. The Case-Shiller Index is a “rolling average” which means that trailing results can slightly change the results for the past few months. The current index reflects values similar to home values in the summer of 1997. But remember, our values are not down as much as many other metro areas. In a recent report we published, there are 13 other areas with larger drops in value than Metro Atlanta. We may have several more years of foreclosures and short sales to process before we begin to show sustained increases in overall home values. But many of our sub-markets are already seeing positive gains as their “for sale” inventory is getting very low and the mix of short sales & foreclosures is already back to lower levels. Again, your local PGR agent can show you the specific conditions in your local market. The November index is 85.49 which is 2.07% down from last month and 14.79% down from January of 2011. Click on the link below to open the Excel spreadsheet that shows the details of the latest index.

Case-Shiller-Index-Atlanta-January-2012-Index-Reported-March-2012

The peak of our market was July of 2007 according to the Case-Shiller index. Since July of 2007, our homes values have slipped 37.36%. With the February and March months still ahead, we may expect to hover around these levels before rising in the spring and summer. If you average the Case-Shiller Index for the past 12 months, we are down 28.83% from the peak. We believe it is more effective to use the ”average of the past 12 months” or “trailing 12 months” as an indicator instead of reacting to a specific month. Click to view the graph of the latest Case-Shiller results from 2010, 2011 and 2012.

If you look back further at home values, you can see that we had the bubble in homes values but are actually below the normal trend line. Of course, this is caused by an oversupply of short sales and foreclosures. As we work through this inventory and return to a more normal mix of resales and new homes, home values will rise.

The big factors to watch will be the pace of short sales and foreclosures entering the market and mortgage rates. Your local Prudential Georgia Realty agent can show you the specific trends in your local area for foreclosures, short sales and notices of default. Recently, we have seen mortgage rates dip back to historic lows again. The Fed has announced that interest rates will be frozen through the middle of 2014. They have also implemented Operation Twist which is a program intended to keep 30-year rates low. But mortgage rates are impacted by more factors than just interest rates. There are major legislative issues and other economic factors that could cause mortgage rates to rise. For example, the proposed legislation for QRM (Qualified Residential Mortgages) will require mortgage companies to hold back 5% in capital reserves for every loan. That is expected to be funded by higher mortgage rates. Analysts also predict the eventual demise of more exotic loan types like ARMs and interest-only loans. We will more likely see plain vanilla mortgages of 10, 20 and 30 years with a 20% down payment. This is all part of the financial reform legislation. Right now, there is an incredible window of opportunity to buy the home of your dreams and set a future mortgage rate that we will not likely see again in our lifetimes.

Remember, you will not know the bottom of the market until it is already passed. We believe that we are seeing the bottom of the market for Metro Atlanta now. Future demand for our housing is strong. A report from the Atlanta Regional Commission forecasts 3 million new residents in the next 30 years. Our conclusion is that we are seeing the bottom of homes values this winter for Metro Atlanta but expect a slow recovery. We expect to see annual home values slowly increase over time with a few bumps along the way. In 2013 or 2014, we expect to see a seller’s market return with higher than normal appreciation for a few years. In fact, we are already seeing that in some of our local markets right now. Contact us to learn more about future predictions and how that impacts your decisions.

If you look at the average annual Case-Shiller index for each year, here is how homes purchased in recent years would compare to the current index:

Homes Bought in 2000 – Loss of 17.19%
Homes Bought in 2001 – Loss of 21.58%
Homes Bought in 2002 – Loss of 24.49%
Homes Bought in 2003 – Loss of 26.89%
Homes Bought in 2004 – Loss of 29.35%
Homes Bought in 2005 – Loss of 32.74%
Homes Bought in 2006 – Loss of 35.81%
Homes Bought in 2007 – Loss of 36.23%
Homes Bought in 2008 – Loss of 30.29%
Homes Bought in 2009 – Loss of 21.14%
Homes Bought in 2010 – Loss of 19.17%
Homes Bought in 2011 – Loss of 13.08%

Yes, we are slowly climbing our way out of this unprecedented housing crisis – but we are not there yet. So where will home values go from here? The key factors that will impact our home values include the following:

Demand From Buyers (We finished 2011 with over 70,000 homes purchased – a 20% increase from 2010. The activity is very strong so far in 2012. We are seeing an early spring season.)

Mortgage Rates/ Credit Availability (Average mortgage rates in the past 50 years were 8%. We expect to see historically low mortgage rates this winter and the 1st half of 2012. We expect to see rates rising during 2nd half of 2012 and 2013. In 3-5 years, we expect to see rates in the 6-8% range.)

Supply/ Inventory Levels (Most of our markets are showing inventory levels down 25% – 30% from the prior year levels. We expect inventory to remain at very low levels as we begin to move toward a sellers market.)

Competition from Short Sales/ Foreclosures (We expect to see significant numbers of short sales & foreclosures for the next two years. We predict that short sales and foreclosures will be approximately 50-60% of the transactions in 2012. However, we do not expect a flood of foreclosures that drives the overall inventory too high. Banks are not likely to harm their own values and there is a significant move to sell foreclosures to large investors who transition them to rental properties.)

You and your agent should be carefully watching the trends for short sales and foreclosures. Yes, we will continue to see some ups and downs along the way, but home values will rise again. In a few years, short sales and foreclosures will return to normal levels. The new homes inventory will remain low. That means we will see an undersupply of homes for sale and values will begin to rise. In 5 or 10 years, many will look back and regret not buying their dream home when they had the chance! Check back for our next posts with the latest facts and insight that can make you money!

Case-Shiller Index Reported June 2011

ATLScoop — Tue, 28 Jun 2011 17:30:32 +0000

The latest Case-Shiller Index was published on Tuesday, June 28th, 2011. As always, the index reports on data 60 days in arrears. Therefore, the index reports Metro Atlanta home values for April 2011. So what does the latest index show and what does that mean for home values in metro Atlanta?

Before we provide the answer, we want to make two caveats. First, the Case-Shiller index of home values is very different from average sale prices or median homes prices which only reflect what was actually sold in the market. If lower priced homes are selling more, then the average sales price will show a lower value than what market value may be for higher priced properties. According to SmartNumbers, almost 50% of 2011 closed sales are under $100,000 and the normal distribution would be in the 10-15% range. That skews the average sales price lower. The median price is simply the home sales price in the middle of the properties selected. The Case-Shiller Index reports on repeat properties sold and other factors which are generally better indicators of home values. Second, this index reflects the average home values for all of Metro Atlanta. Remember, people do not buy houses in America or even in metro Atlanta. They buy a specific property on a street in a local community. Real estate is local and every market is different. There are some local communities that have held their values reasonably well and others that may continue to decline. Your local agent expert can help you understand the specific metrics in your local market. However, the Case-Shiller Index is a good general indication on what is happening in our market.

Now for the news…. The April index shows a 1.65% increase in homes values from March 2011 which reflects the normal seasonality of the stronger spring market. The Case-Shiller Index is a “rolling average” which means that trailing results can slightly change the past results. This update shows slight positive gains in January and February and a small decline in March. The current index reflects values similar to home values in the spring of 2000. But we are returning to a more normal seasonal pattern which tends to see home values rise in the spring and summer months with drops in the fall and winter. Right now the inventory is down compared to historical levels and pending volumes are very strong. We expect to see more positive home values through the mid summer months. But remember our values remain significantly down compared to peak levels. We have several more years of foreclosures and short sales to process before we begin to show sustained increases in home values. The April index is 101.95 which is 1.65% up from last month and 3.54% down from April of last year. Click on the link below to open the Excel spreadsheet that shows the details of the latest index.

Case Shiller Index Atlanta – April 2011 Index – Reported June 2011

The peak of our market was July of 2007 according to the Case-Shiller index. Since July of 2007, our homes values have slipped 25.29%. If you average the Case Shiller Index for the past 12 months, we are down 23.57% from the peak. We believe it is more effective to use the ”average of the past 12 months” or “trailing 12 months” as an indicator instead of reacting to a specific month.

The big factors to watch will be the pace of short sales and foreclosures entering the market and mortgage rates. Your local Prudential Georgia Realty agent can show you the specific trends in your local area for foreclosures, short sales and notices of default. Recently, we have seen mortgage rates dip back to historic lows again. That will not last long as virtually every analyst predicts rates to go higher in the future. There are major issues at stake including the future of Freddie & Fannie and proposed legislation for QRM (Qualified Residential Mortgages) that will require 20% or higher down payments and increase the costs to provide financing. Analysts also predict the demise of more exotic loan types like ARMs and interest-only loans. We will more likely see plain vanilla mortgages of 10, 20 and 30 years with a 20% down payment. This is all part of the financial reform legislation. Right now, there is an incredible window of opportunity to buy the home of your dreams and set a future mortgage rate that we will not likely see again in our lifetimes.

Remember, you will not know the bottom of the market until it is already passed. We believe that we are seeing the bottom of the market for Metro Atlanta now. Future demand for our housing is strong. The AJC recently published a report from the Economic Forecasting Center at Georgia State University that predicted we would see over 60,000 jobs in 2011 and over 78,000 in 2012. A report from the Atlanta Regional Commission forecasts 3 million new residents in the next 30 years. Our conclusion is that we are seeing the bottom of homes values for Metro Atlanta but do not expect a robust recovery. We expect to see annual home values slowly increase over time with a few bumps along the way. In approximately 2013, we expect to see a seller’s market return with higher than normal appreciation for a few years. Contact us to learn more about future predictions and how that impacts your decisions.

If you look at the average annual Case-Shiller index for each year, here is how homes purchased in recent years would compare to the current index:

Homes Bought in 2000 – Loss of 1.24%

Homes Bought in 2001 – Loss of 6.48%

Homes Bought in 2002 – Loss of 9.95%

Homes Bought in 2003 – Loss of 12.78%

Homes Bought in 2004 – Loss of 15,75%

Homes Bought in 2005 – Loss of 19.79%

Homes Bought in 2006 – Loss of 23.45%

Homes Bought in 2007 – Loss of 23.95%

Homes Bought in 2008 – Loss of 16.87%

Homes Bought in 2009 - Loss of 5.95%

Yes, we are slowly climbing our way out of this unprecedented housing crisis – but we are not there yet. So where will home values go from here? The key factors that will impact our home values include the following:

Demand From Buyers (We expect demand to slightly improve for 2011 with over 60,000 homes purchased.)

Mortgage Rates/ Credit Availability (Average mortgage rates in the past 50 years were 8%. We expect to see historically low mortgage rates this summer but expect to see rates rising during the later part of 2011 and into 2012. In a few years, we expect to see rates 1-2% higher.)

Supply/ Inventory Levels (We expect inventory to remain at slightly low to normal levels with a heavier mix of short sales and foreclosures for the next two years.)

Competition from Short Sales/ Foreclosures (We expect to see significant numbers of short sales & foreclosures for the next two years. Analysts predict that short sales and foreclosures will be approximately 60% of the transactions in 2011. However, we do not expect a flood of foreclosures that drives the overall inventory too high. Banks are not likely to harm their own values.)

You and your agent should be carefully watching the trends for short sales and foreclosures. Yes, we will continue to see some ups and downs along the way, but home values will rise again. In a few years, short sales and foreclosures will return to normal levels. The new homes inventory will remain low. That means we will see an undersupply of homes for sale and values will begin to rise. In 5 or 10 years, many will look back and regret not buying their dream home when they had the chance! Check back for our next posts with the latest facts and insight that can make you money!

Case Shiller Index Reported May 2011

ATLScoop — Tue, 31 May 2011 16:16:06 +0000

The latest Case-Shiller Index was published on Tuesday, May 31st, 2011. As always, the index reports on data 60 days in arrears. Therefore, the index reports Metro Atlanta home values for March 2011. So what does the latest index show and what does that mean for home values in metro Atlanta?

Now for the news…. The March index continues an 8-month streak of falling home values. The current index reflects values similar to home values in October of 1999. But we are returning to a more normal seasonal pattern which tends to see home values rise in the spring and summer months with drops in the fall and winter. The March index is 98.36 which is 1.87% down from last month and 5.18% down from March of last year. The root causes for these results are the aggressive prices of short sales and foreclosures in our market plus overall concerns about the economy. Click on the link below to open the Excel spreadsheet that shows the details of the latest index.

Case Shiller Index Atlanta – March 2011 Index – Reported May 2011

The peak of our market was July of 2007 according to the Case-Shiller index. Since July of 2007, our homes values have slipped 27.93%. If you average the Case Shiller Index for the past 12 months, we are down 23.60% from the peak. We believe it is more effective to use the ”average of the past 12 months” or “trailing 12 months” as an indicator instead of reacting to a specific month.

The big factors to watch will be the pace of short sales and foreclosures entering the market and mortgage rates. Your local Prudential Georgia Realty agent can show you the specific trends in your local area for foreclosures, short sales and notices of default. Recently, we have seen mortgage rates dip back to historic lows again. That will not last long as virtually every analyst predicts rates to go higher in the future. There are major issues at stake including the future of Freddie & Fannie and proposed legislation for QRM (Qualified Residential Mortgages) that will require 20% or higher down payments and increase the costs to provide financing. Analysts also predict the demise of more exotic loan types like ARMs and interest-only loans. We will more likely see plain vanilla mortgages of 10, 20 and 30 years with a 20% down payment. This is all part of the financial reform legislation. Right now, there is an incredible window of opportunity to buy the home of your dreams and set a future mortgage rate that we will not likely see again in our lifetimes.

Remember, you will not know the bottom of the market until it is already passed. We believe that we are seeing the bottom of the market for Metro Atlanta now. Future demand for our housing is strong. The AJC recently published a report from the Economic Forecasting Center at Georgia State University that predicted we would see over 60,000 jobs in 2011 and over 78,000 in 2012. A report from the Atlanta Regional Commission forecasts 3 million new residents in the next 30 years. Our conclusion is that we are seeing the bottom of homes values for Metro Atlanta but do not expect a robust recovery. We expect to see annual home values slowly increase over time with a few bumps along the way. In approximately 2013, we expect to see a seller’s market return with higher than normal appreciation for a few years. Contact us to learn more about future predictions and how that impacts your decisions.

If you look at the average annual Case-Shiller index for each year, here is how homes purchased in recent years would compare to the current index:

Homes Bought in 2000 – Loss of 4.72%

Homes Bought in 2001 – Loss of 9.77%

Homes Bought in 2002 – Loss of 13.12%

Homes Bought in 2003 – Loss of 15.86%

Homes Bought in 2004 – Loss of 18.72%

Homes Bought in 2005 – Loss of 22.62%

Homes Bought in 2006 – Loss of 26.15%

Homes Bought in 2007 – Loss of 26.63%

Homes Bought in 2008 – Loss of 19.80%

Homes Bought in 2009 - Loss of 9.26%

Demand From Buyers (We expect demand to slightly improve for 2011 with over 60,000 homes purchased.)

Mortgage Rates/ Credit Availability (Average mortgage rates in the past 50 years were 8%. We expect to see historically low mortgage rates this summer but expect to see rates rising during the later part of 2011 and into 2012. In a few years, we expect to see rates 1-2% higher.)

Supply/ Inventory Levels (We expect inventory to remain at slightly low to normal levels with a heavier mix of short sales and foreclosures for the next two years.)

Competition from Short Sales/ Foreclosures (We expect to see significant numbers of short sales & foreclosures for the next two years. Analysts predict that short sales and foreclosures will be approximately 60% of the transactions in 2011. However, we do not expect a flood of foreclosures that drives the overall inventory too high. Banks are not likely to harm their own values.)

You and your agent should be carefully watching the trends for short sales and foreclosures. Yes, we will continue to see some ups and downs along the way, but home values will rise again. In a few years, short sales and foreclosures will return to normal levels. The new homes inventory will remain low. That means we will see an undersupply of homes for sale and values will begin to rise. In 5 or 10 years, many will look back and regret not buying their dream home when they had the chance! Check back for our next posts with the latest facts and insight that can make you money!

Case Shiller Index Reported April 2011

ATLScoop — Tue, 26 Apr 2011 21:36:28 +0000

The latest Case-Shiller Index was published on Tuesday, April 26, 2011. As always, the index reports on data 60 days in arrears. Therefore, the index reports Metro Atlanta home values for February 2011. So what does the latest index show and what does that mean for home values in metro Atlanta?

Before we provide the answer, we want to make two caveats. First, the Case-Shiller index of home values is very different from average sale prices or median homes prices which only reflect what was actually sold in the market. If lower priced homes are selling more, then the average sales price will show a lower value than what market value may be for higher priced properties. The median price is simply the home sales price in the middle of the properties selected. The Case-Shiller Index reports on repeat properties sold and other factors which are generally better indicators of home values. Second, this index reflects the average home values for all of Metro Atlanta. Remember, people do not buy houses in America or even in metro Atlanta. They buy a specific property on a street in a local community. Real estate is local and every market is different. Your local agent expert can help you understand the specific metrics in your local market. However, these metrics are a good general indication on what is happening in our market.

Now for the news…. The February index continues a 7 month streak of falling home values. The March 2010 index was the previous low before these past few months in Metro Atlanta. The current index reflects values similar to home values in the winter of 1999. But we are returning to a more normal seasonal pattern which tends to see home values rise in the spring and summer months with drops in the fall and winter. The February index is 99.47 which is 53% down from last month and 5.85% down from February of last year. The root cause for these results are the aggressive prices of short sales and foreclosures in our market. Click on the link below to open the Excel spreadsheet that shows the details of the latest index.

Case Shiller Index Atlanta – February 2011 Index – Reported April 2011

The peak of our market was July of 2007 according to the Case-Shiller index. Since July of 2007, our homes values have slipped 27.11%. We expect to see lower index numbers in March with increases in the spring and summer. If you average the Case Shiller Index for the past 12 months, we are down 23.30% from the peak. We expect the get to the 25% down range based upon the 2010 annual index over the next few months. We believe it is more effective to use the ”average of the past 12 months” or “trailing 12 months” as an indicator instead of reacting to a specific month. The big factor to watch will be the pace of short sales and foreclosures entering the market.

Remember, you will not know the bottom of the market until it is already passed. We believe that we are seeing the bottom of the market this winter and early spring. The AJC recently published a report from the Economic Forecasting Center at Georgia State University that predicted we would see over 60,000 jobs in 2011 and over 78,000 in 2012. A report from the Atlanta Regional Commission forecasts 3 million new residents in the next 30 years. Our conclusion is that we are seeing the bottom of homes values for Metro Atlanta but do not expect a robust recovery. We expect to see annual home values slowly increase over time with a few bumps along the way. In approximately 2013, we expect to see a seller’s market return and higher than normal appreciation for a few years. Contact us to learn more about future predictions and how that impacts your decisions.

If you look at the average annual Case-Shiller index for each year, here is how homes purchased in recent years would compare to the current index:

Homes Bought in 2000 – Loss of 3.64%

Homes Bought in 2001 – Loss of 8.75%

Homes Bought in 2002 – Loss of 12.14%

Homes Bought in 2003 – Loss of 14.91%

Homes Bought in 2004 – Loss of 17.80%

Homes Bought in 2005 – Loss of 21.75%

Homes Bought in 2006 – Loss of 25.32%

Homes Bought in 2007 – Loss of 25.80%

Homes Bought in 2008 – Loss of 18.90%

Homes Bought in 2009 - Loss of 8.24%

Demand From Buyers (We expect demand to improve for 2011.)

Mortgage Rates/ Credit Availability (Average mortgage rates in the past 50 years were 8%. We expect to see historically low mortgage rates but expect to see rates rising during 2011. In a few years, we expect to see rates 1-2% higher. We also expect to see adjustable rate mortgages and other more exotic loan options disappear in 2011.)

Supply/ Inventory Levels (We expect inventory to remain at slightly low to normal levels with a heavier mix of short sales and foreclosures for the next two years.)

Competition from Short Sales/ Foreclosures (We expect to see significant numbers of short sales & foreclosures for the next two years. Analysts predict that short sales and foreclosures will be approximately 60% of the transactions in 2011. However, we do not expect a flood of foreclosures that drives the overall inventory too high. Banks are not likley to harm their own values.)

You and your agent should be carefully watching the trends for short sales and foreclosures. Yes, we will continue to see some ups and downs along the way, but home values will rise again. In a few years, short sales and foreclosures will return to normal levels. The new homes inventory will remain low. That means we will see an undersupply of homes for sale and values will begin to rise. In 5 or 10 years, many will look back and regret not buying their dream home when they had the chance! Check back for our next posts with the latest facts and insight that can make you money!

Race For The Home Event – $15,000 Down Payment Prize

ATLScoop — Tue, 26 Apr 2011 20:23:13 +0000

Mobile media, social gaming and real estate converge as Prudential Georgia Realty, HomeFinder.com and SCVNGR invite local Atlanta home buyers to play the HomeFinder.com Race for the Home on Saturday May 14^th.

Prudential Georgia Realty, the leading real estate brokerage in Metro Atlanta and HomeFinder.com announced the 2^nd annual HomeFinder.com Race for the Home event. The event invites Metro Atlanta home buyers to participate in a one day, challenge-filled, location-based game on Saturday, May 14. Prudential Georgia Realty, together with HomeFinder.com and Google-backed mobile gaming company, SCVNGR, are hosting a real estate-inspired version of “The Amazing Race.” The home buyers who score the most points by successfully completing challenges at Prudential Georgia Realty open houses will win the $15,000 grand prize. The HomeFinder.com Race for the Home will also help to raise funds for The Sunshine Kids foundation supporting children with cancer.

All Atlanta home buyers are welcome to sign up! Any couple or team of two can participate and all ages 18 or over are welcome. Participants can register today at www.RacefortheHome.com and tell their story about why they should be chosen to play for the chance to WIN the $15,000 cash grand prize. The grand prize award is sponsored by Prudential Georgia Realty, SunTrust Mortgage, the law offices of Weissman, Nowack, Curry & Wilco P.C., HSA and Georgia Natural Gas.

Prudential Georgia Realty Ranked #1 Real Estate Company By Atlanta Business Chronicle

ATLScoop — Mon, 04 Apr 2011 17:50:13 +0000

Prudential Georgia Realty was ranked the #1 real estate company in Metro Atlanta for 2010 by the Atlanta Business Chronicle. The report is published annually and ranks local real estate companies by sales units and sales volume. Notably, the company moved up from the 4^th position in 2009 to the #1 position in 2010.

Click Here To View The Ranking Report

This ranking is no surprise to insiders who track the real estate market. Trendgraphix reports that Prudential Georgia Realty has consistently gained more market share than any large brokerage. The company is #1 for transactions, #1 for buyers and #1 for listing inventory for 2010 in all FMLS counties.

“The real estate market has changed dramatically and the old methods simply no longer work. In the last three years, our company has made significant investments to build an advanced infrastructure of marketing, technology, information resources, training, coaching and support services. While others have cut costs to survive the real estate downturn, we invested in our future,” said Prudential Georgia Realty President and CEO Dan Forsman. “These investments are paying off in better results for our clients and are attracting the best agents to our firm.”

So why is Prudential Georgia Realty gaining market share? Some examples of the advantages that are paying off for Prudential Georgia Realty clients and agents include the following:

The PGR Advanced Property Marketing System is the most effective property marketing approach available and has been instrumental in driving the company’s leadership in listing inventory and listing sales. The APMS is continuously updated and the company provides extensive training to ensure their agents have the systems, knowledge and skills to execute this more advanced methodology.

PGR has exceptional capabilities and expertise in online marketing. As part of the Online Marketing Advantage program, the company developed the industry’s most extensive and automated listing distribution. Listings are syndicated to thousands of real estate websites with higher priority, distinction on the page and beautiful rich media to “bring the story of that property to life” online. Realtor.com recognized the company as the first large brokerage to receive the prestigious Online Marketing Award of Excellence. PGR has also invested in a comprehensive Search Engine Optimization program and is the #1 organic result on Google for Atlanta real estate searches. PGR has extensive SEO programs for listings including YouTube videos for every listing, single property websites for every listing and mobile websites for every listing. In addition, the company offers an SEO program for agents who want to target their website for local searches in their market.

PGR has the most comprehensive set of information resources available for their agents to be the local market expert. Today, the information available to consumers can be very confusing and often inaccurate. PGR offers insight from a variety of sources including Trendgraphix, RealValuator, SmartNumbers, ViaSearch, RealtyTrac, RealList, Case-Shiller, Redlink, GSCCCA and a variety of automated valuation models, mls services and other sources. PGR is a charter member of RREIN (the RIS Media Real Estate Information Network) which is the largest real estate content provider in the world. RREIN gives our agents and clients access to voluminous real estate articles, videos and trends from experts around the country. To assist agents in assimilating this vast array of information, the company offers extensive training and a regular dose of webinars from company and industry experts on the latest trends. The net result is that PGR agents are more informed and can offer better local guidance to their clients for making the best real estate decisions.

Mobile technology is quickly changing the way that real estate is found and information is shared. PGR Mobile Solutions is the most comprehensive suite of mobile solutions available. PGR Mobile Solutions includes a 24/7 text marketing service that allow consumers to text a custom code and get back property information immediately. The agent is notified and can follow up to qualify the prospect. Each property also has a QR code available to scan and get property information. Each agent has their own mobile property search that is optimized to be used for any mobile device. PGR agents have a full mobile website that can be launched from any mobile browser, a custom text code or a QR code. The company also provides a series of mobile marketing campaigns with the website content designed specifically for mobile devices. And finally, the company hosts a series of Race for the Home events – powered by SCVNGR. These events are exclusive to Prudential Georgia Realty. Participants play a mobile scavenger hunt through PGR open houses and the winner gets a $15,000 down payment towards the home of their dreams.

Social Media and evolving demographic trends are rapidly changing the way that consumers collaborate. PGR Social Media solutions is a comprehensive approach to helping agents build professional social media sites and sharing rich content that helps support their real estate business – without overstepping the implied social boundaries of those mediums. A part of this approach is the ability of seller clients to share information about their listings with their own contacts. PGR has implemented a solution called “AnnounceMyListing” that fully automates this process.

PGR offers the most comprehensive suite of real estate services. The company is the leader in Corporate Relocation for Metro Atlanta. Since 1945, we have worked with many 3^rd party relocation providers to help thousands of corporate employees relocate to our market. We are also members of leading real estate referral networks including Prudential Fine Homes International (leading luxury network), the Luxury Real Estate Network (largest luxury network in the world), the Realty Alliance (top 60 independent real estate companies in America) and the RREIN network. This is one of the reasons our company is #1 for buyers. We also have divisions that help our agents offer property management services, commercial real estate services, REO services and new homes marketing & sales services. Our affiliated partners help our teams offer mortgage services, title services, home warranties, closing services, insurance services, job loss protection, short sale services and discounts on a variety of home products & services such as appliances, utilities and more. Our goal is to make your move simpler and less expensive.

Prudential Georgia Realty recognizes that the market has changed dramatically for both consumers and agents. Our strategy is to help agents build a successful business based upon delivering exceptional value to their clients. That is why we developed the Advanced Agent Business System, PGR Coaching, PGR University, PGR Labs and PGR Agent Marketing Services. The AABS helps agents plan a more effective strategy including building their skills and implementing the right systems & resources that allow them to stay focused on delivering value for their clients. PGR Coaching helps agents stay motivated and be accountable to their goals. PGR University offers a wide variety of customized training programs – online and in the local branch. These sessions provide extensive training on our websites, lead generation systems, collaboration technology, marketing solutions and ongoing skills development. PGR Labs stays on top of the latest innovations – so our agents can stay focused on their clients. And finally, PGR Agent Marketing Services provides expert resources to help supplement the virtual team needs of our agents. These include graphic designers, website developers, marketing specialists, content writers, audio & video experts, database experts, admin resources and more. All these systems and services are backed by our local branch network of the best brokers in the business and their talented local support staff.

It is no surprise that Prudential Georgia realty is gaining market share. We are delivering the future of real estate… Now!

Homeownership More Affordable Than Renting in 72 Percent of Major U.S. Cities

ATLScoop — Tue, 25 Jan 2011 23:34:11 +0000

RISMEDIA — Trulia.com, a top site for home buyers, sellers and renters released its latest Rent vs. Buy Index which found that it is more affordable to buy than to rent a two-bedroom home in 72% of America’s 50 largest cities. Meanwhile, a nation of renters has emerged as more Americans rent by choice or due to unforeseen financial difficulties. In contrast to this nationwide trend, renting is only less expensive than buying in four of the cities included in this study—namely New York, Seattle, Kansas City and San Francisco. The remaining 10 cities are locations where buying may still be a financially sound long-term decision despite the relative affordability of renting.

For Atlanta, the index is a 1-13 ratio which puts Atlanta in the category of “much less expenisve to buy than rent” versus other markets. Click the link below to view the report.

Trulia Rent vs Buy Index

“Since the start of the ‘Great Recession,’ many former homeowners have flooded the rental market. Following the principles of supply and demand, renting has become relatively more expensive than buying in most markets,” said Pete Flint, CEO and co-founder of Trulia. “Though necessary for achieving true economic recovery, stricter bank lending practices have also further aggravated the struggling housing market in the short term. Even highly-qualified home buyers face intense scrutiny on their income, savings, existing debt and credit history before they can get a mortgage loan.”

Cities overwhelmed by foreclosure filings and unemployment, including many cities in Florida, Arizona, Nevada and central California, typically correspond to more affordable markets for prospective buyers; however, there are exceptions. Oakland and Los Angeles, which are experiencing similar rates of unemployment or foreclosure filings as Phoenix, Miami and Sacramento, are still more affordable to renters. Moreover, close proximity to economic centers with promising job growth projections has propped up both the demand for homes and costs of homeownership in Oakland and Los Angeles.

“Although owning a home is relatively more affordable in most cities, market conditions have caused an interesting demographic swap between traditional renters and buyers,” said Tara-Nicholle Nelson, Consumer Educator for Trulia. “For example, lifelong renters are seizing the opportunity to become homeowners while affordability is high. At the same time, a growing number of long-time homeowners are finding themselves tenants—some by choice and others by necessity.”

Case-Shiller Index For May 2010

ATLScoop — Tue, 25 May 2010 15:06:52 +0000

The May Case-Shiller Index was published on Tuesday, May 25th 2010. As always, the index reports on data 60 days in arrears. Therefore, the index reports metro Atlanta home values for March 2010. So what does the latest index show and what does that mean for home values in metro Atlanta?

Before we provide the answer, we want to make two caveats. First, the Case-Shiller index of home values is very different from average sale prices which reflect the average prices of what is being sold in the market. This index reflects the averages for metro Atlanta. Remember, people do not buy houses in America or even in metro Atlanta. They buy a specific property on a street in a local community. Real estate is local and every market is different. Your local agent expert can help you understand the specific metrics in your local market. However, these metrics are a good general indication on what is happening in our market.

Now for the news…. The March index established a new low for Metro Atlanta and shows the 7th drop in a row after 5 positive months in a row. The March index is 103.74 which is 1.81% down from last month. Click on the link below to open the Excel spreadsheet that shows the details of the latest index.

Case Shiller Index – Atlanta – March 2010 Index

The peak of our market was July of 2007 according to the Case-Shiller index. The previous bottom was March of 2009. This new index low is 1.27% below the previous low point. In August of 2009, we had seen 5 months of increasing values and were 5.8% above the March 2009 index. Since then, we have slipped and down 23.98% from the peak of July 2007. The spring selling season has been very active in March and April showing year-to-year increases in pendings of 47% and 28% respectively. Inventory for March was down 17% and April was down 14%. This increased demand and lower inventory will begin to reflect in a higher Case-Shiller Index for April and the spring and summer months. Remember, Case-Shiller reflects closed sales and not pended sales. It takes a few months for the more positive pending sales trends to translate to closings. Therefore, we predict that metro Atlanta home values may have seen the bottom in March of 2010. We expect to see the index improving in the spring and continue with slight gains in the summer. We may see slight declines later this fall and winter but do not expect to test the low point of March 2010. We expect a slow but sure increase in values for 2010 and beyond. Remember, you will not know the bottom of the market until it is passed.

If you look at the average annual Case-Shiller index for each year, here is how homes purchased in recent years would compare to the current index:

Homes Bought in 2000 – Gain of .49%

Homes Bought in 2001 – Loss of 4.84%

Homes Bought in 2002 – Loss of 8.37%

Homes Bought in 2003 – Loss of 11.25%

Homes Bought in 2004 – Loss of 14.27%

Homes Bought in 2005 – Loss of 18.39%

Homes Bought in 2006 – Loss of 22.11%

Homes Bought in 2007 – Loss of 22.61%

Homes Bought in 2008 – Loss of 15.41%

Homes values are essentially the same as the spring of 2000 right now. Yes, we are slowly climbing our way out of this unprecedented housing crisis – but we are not there yet. So where will home values go from here? The key factors that will impact our home values include the following:

Demand From Buyers (We expect to see continued demand through spring and summer months.)

Mortgage Rates/ Credit Availability (We expect to see incredibly low mortgage rates for an extended period with increases coming in late 2010 and 2011.)

Supply/ Inventory Levels (We expect inventory levels to remain lower than normal.)

Competition from Short Sales/ Foreclosures (We expect to see significant numbers of short sales & foreclosures for the next two years. However, we do not expect a flood of foreclosures that drives the overall inventory too high.)

You and your agent should be carefully watching the trends for short sales and foreclosures. Right now, home affordability is exceptional. We still have the combination of low home prices and the lowest mortgage rates in 50 years. Many wonderful properties are available below their replacement costs. But this scenario will not last forever. Rates will go up over time. Home values will be increasing – slowly but surely. Yes, we will continue to see some ups and downs along the way, but home values are on the rise. In 5 or 10 years, many will look back and regret not buying their dream home when they had the chance!

Check back for our next posts with the latest facts and insight that can make you money!

Case-Shiller Index For March 2010

ATLScoop — Tue, 30 Mar 2010 15:36:45 +0000

The March Case-Shiller Index was published on Tuesday, March 30th 2010. As always, the index reports on data 60 days in arrears. Therefore, the index reports metro Atlanta home values for January 2010. So what does the latest index show and what does that mean for home values in metro Atlanta?

Before we provide the answer, we want to make two caveats. First, the Case-Shiller index of home values is very different from average sale prices which reflect the average prices of what is being sold in the market. Right now, the heavy volumes in the market remain on the lower end for 1st time home buyers and short sales/ foreclosures. The luxury market is slower so that makes the average sales price lower than a normal market. Second, real estate is local and every market is different. Your local agent expert can help you understand the specific metrics in your local market.

Now for the news…. The January index shows the 5th drop in a row after 5 positive months in a row. The January index is 107.04 which is 1.45% down from last month. Click on the link below to open the Excel spreadsheet that shows the details of the latest index.

Case Shiller Index – Atlanta – January 2010 Index

The peak of our market was July of 2007 according to the Case-Shiller index. The most recent bottom was March of 2009. In August of 2009, we had seen 5 months of increasing values and were 5.8% above the bottom of March 2009. Since then, we have slipped and are now only 1.87% above the March 2009 bottom and still down 21.57% from the peak of July 2007. We expect to see a slight drop in the February and March indexes. The spring selling season driven by the expiring tax credits in April plus the lower than normal levels of inventory will start driving home values back up this spring. Therefore, we predict that metro Atlanta home values will have seen a bottom for 2010 in February or March and we will see slight gains for the spring and summer months. We may see slight declines later this fall and winter but do not expect to test the lows of March 2009 or February/ March 2010. We expect a slow but sure increase in values for 2010 and beyond. Remember, you will not know the bottom of the market until it is passed. If you are considering buying, do not wait!

If you look at the average annualCase-Shiller index for each year, here is how homes purchased in recent years would compare to the current index:

Homes Bought in 2000 – Gain of 3.69%

Homes Bought in 2001 – Loss of 1.81

Homes Bought in 2002 – Loss of 5.45%

Homes Bought in 2003 – Loss of 8.43%

Homes Bought in 2004 – Loss of 11.55%

Homes Bought in 2005 – Loss of 15.79%

Homes Bought in 2006 – Loss of 19.61%

Homes Bought in 2007 – Loss of 20.15%

Homes Bought in 2008 – Loss of 12.72%

Homes values are essentially the same as the spring of 2001 right now. Yes, we are slowly climbing our way out of this unprecedented housing crisis – but we are not there yet. So where will home values go from here? The key factors that will impact our home value include the following:

Demand From Buyers (We expect to see improving demand through spring driven by the tax credits, great deals and low mortgage rates!)

Mortgage Rates/ Credit Availability (We expect to see low mortgage rates for an extended period. Although the mortgage fees on FHA and certain other loans will be increasing this summer.)

Competition from Short Sales/ Foreclosures Entering the Market (We expect to see significant numbers of short sales & foreclosures for the next two years. That will be the main competition for most properties. You need to know the details and trends to compete.)

You and your agent should be carefully watching the trends for short sales and foreclosures. It is clearly a great time to buy and we expect many buyers to take full advantage. The expiring tax credits will create a flurry of sales in April. However, great deals and low mortgage rates will keep demand strong for an extended period. Check back for our next posts with the latest facts and insight that can make you money!

Case-Shiller Index – January 2010

ATLScoop — Fri, 29 Jan 2010 03:22:59 +0000

The January Case-Shiller Index was just released. As always, Case-Shiller is published the last Tuesday of the month and reports on data 60 days in arrears. Therefore, the index reports metro Atlanta home values for November 2009. So what does the latest index show and what does that mean for home values in metro Atlanta?

Before we provide the answer, we want to make two caveats. First, the Case-Shiller index of home values is very different from average sale prices which reflect the average prices of what is being sold in the market. Right now, the heavy volumes in the market remain on the lower end for 1st time home buyers and short sales/ foreclosures. The luxury market is slower so that makes the average sales price lower than a normal market. Second, real estate is local and every market is different. Your local agent expert can help you understand the specific metrics in your local market.

Now to the news…. The November index shows the 3rd drop in a row after 5 positive months in a row. In a more normal market, you would expect such a seasonal drop. However, the previous $8000 First Time Home Buyer was expiring in November which should have positively impacted these numbers. The new extended and expanded tax credits were not announced until December. The market results for December were significantly down versus November. Therefore, we should expect a more significant drop in home values coming for December. Click on the link below to open the Excel spreadsheet that shows the details of the latest index.

Case Shiller Index – Atlanta – November 2009 Index

If you look at the average annual Case-Shiller index for each year, here is how homes purchased in recent years would compare to the current index:

Homes Bought in 2000 – Gain of 4.43%

Homes Bought in 2001 – Loss of .93%

Homes Bought in 2002 – Loss of 4.54%

Homes Bought in 2003 – Loss of 7.51%

Homes Bought in 2004 – Loss of 10.76%

Homes Bought in 2005 – Loss of 15.11%

Homes Bought in 2006 – Loss of 18.62%

Homes Bought in 2007 – Loss of 19.15%

Homes Bought in 2008 – Loss of 11.63%

Homes values are essentially the same as June of 2001 right now. Yes, we are slowly climbing our way out of this unprecedented housing crisis – but we are not there yet. So where will home values go from here? The key factors that will impact our home value include the following:

Demand From Buyers (We expect to see improving demand through spring driven by the tax credits, great deals and low mortgage rates!)

Mortgage Rates/ Credit Availability

Competition from Short Sales/ Foreclosures Entering the Market (See the blog post on short sales & foreclosures – http://atlrealestatescoop.com/changing-trends-foreclosures-short-sales/)

You and your agent should be carefully watching the trends for short sales and foreclosures. It is clearly a great time to buy and we expect many buyers to take full advantage. We will continue to keep you informed with the latest facts and insight that can make you money!