Condo Prices in ATL will go down in next 6 months?

[noah]

[quote=Atlantasfinest;1276704]

Originally Posted by CityFan

And so far so good . Easy to rent out & located in a diverse area (Inman Park/Old 4th Ward) with tons of amenities outside of just the Historic building it's located in. With great original features that all "true" lofts have. Not these "soft" loves developers have been throwing up all over the place.

Do you find your able to cash flow on in-town rental properties without putting in a substantial down payment?

[Atlanta City Living]

In being in the real estate business, it is hard to say how much lower the prices will be in 6 months. However, at this point, I think the biggest concern for buyers will be the ability to get financing. May companies are going belly-up which means that what one can qualify for today, might not necessarily be the case 6-12 months from now. I expect the mortgage industry to get tighter and leaner in qualifying individuals.

I believe the Midtown area is still a very good place for investment. Things have started for the new "Midtown Mile" which will bring up prices on current properties once that is completed.

And yes, there are older buildings here with less amenities but in prime locations and are along the Midtown Mile stretch. Those are definitely worth looking into.

There is a lot of development in Buckhead that is continually going on. There is also much development in the Lindbergh area. More and more shopping plazas and restaurants are going up. However, bear in mind that this area is part of Buckhead and close to Lenox which is becoming very saturated. Drive up Lenox from Lindbergh and all you see is cluster after cluster of developments sitting right on top of each other. The roads themselves cannot handle the traffic flow.

My suggestion would be Midtown - for what it is worth!

[noah]

Originally Posted by Atlanta City Living

In being in the real estate business, it is hard to say how much lower the prices will be in 6 months. However, at this point, I think the biggest concern for buyers will be the ability to get financing. May companies are going belly-up which means that what one can qualify for today, might not necessarily be the case 6-12 months from now. I expect the mortgage industry to get tighter and leaner in qualifying individuals.

I believe the Midtown area is still a very good place for investment. Things have started for the new "Midtown Mile" which will bring up prices on current properties once that is completed.

And yes, there are older buildings here with less amenities but in prime locations and are along the Midtown Mile stretch. Those are definitely worth looking into.

There is a lot of development in Buckhead that is continually going on. There is also much development in the Lindbergh area. More and more shopping plazas and restaurants are going up. However, bear in mind that this area is part of Buckhead and close to Lenox which is becoming very saturated. Drive up Lenox from Lindbergh and all you see is cluster after cluster of developments sitting right on top of each other. The roads themselves cannot handle the traffic flow.

My suggestion would be Midtown - for what it is worth!

I hope you are right on midtown as we are not from Atlanta but have decided to make Midtown our new home. And I believe over the long term you are right on.

I agree getting financing will be tougher for many and this could put pressure on housing prices because less people will be able to qualify for a given house. Those with good credit who can qualify for a standard loans should be fine. The lending market changed in the last five years and started lending these exotic loans to people for whom the loans were not intended for. Now you can get a loan where you only pay 1% and the rest of the interest is added to your principle so that a couple years down the road you owe much more then you paid for it. Interest only on steroids. Yikes!

[aquapax]

Great to hear so many opinions on the condo market in the ATL. I am taking the plunge and putting an offer in on a condo in Buckhead. I have spent three months considering different areas and types of dwellings. At the end of the day, I made a mental list of the 'most-importants'. I want to be on Peachtree and be able to walk to my gym, a grocery, a cafe, a coffee shop, and Marta. Well, I have nailed down a place that gives me all of the above except for the Marta. I can live with a five minute drive to the Lindbergh station. All that said, I agree with bungalow girl, location is the key. The other big importance is the re-sell potential. I surprised myself in that the condo I want is an old building listed on the historic register. Never imagined me in a really old building, but it is immaculately maintained, the unit is move-in ready, and the character of the place is unbeatable. Hopefully the purchase price is gonna be low enough that if I hold this thing a few years there will be an ATL newcomer willing to pay a premium for a great location (this place is about 4 blocks from the new 'Rodeo Drive' development). And so you know, I am the MOST risk-averse human in the world. I fret over everything...so if I am willing to take this plunge, anyone can! I can't wait to start enjoying my new Peachtree Street address!

['thaDOME']

Any thoughts on Townhomes in Norcross or Duluth?

[Go Blue 99]

Originally Posted by 'thaDOME'

Any thoughts on Townhomes in Norcross or Duluth?

Townhome prices in Norcross are definitely going down. I recently checked out Centex's Kedron Falls community in Peachtree Corners. They just dropped their base price from $280's to $230's. And that is BEFORE the current $20k discount promotion they are running. The agent also said some of the first units they sold at the property were $360k- imagine how angry these buyers are now.

[Parsec]

Originally Posted by Go Blue 99

Townhome prices in Norcross are definitely going down. I recently checked out Centex's Kedron Falls community in Peachtree Corners. They just dropped their base price from $280's to $230's. And that is BEFORE the current $20k discount promotion they are running. The agent also said some of the first units they sold at the property were $360k- imagine how angry these buyers are now.

I almost bought a place there during pre-construction 2 years ago. The agent (Felicity I think was her name) was touting how it was prime location and it will sell out before construction starts, so I better hurry and put in my deposit. Haha, 2 years later it's still not sold out and they have dropped the prices by $50k -- I'm glad I had to move out of state or else I'd be upside down on my mortgage right now! BTW, the units that sold in the $300's were the higher-end units -- they included an extra level that you can customize and turn into 2 additional bedrooms or an additional living space and they all sold out early. The units still remaining are the cheaper ones that are much smaller.

From what I've seen, most of the newer complexes in Norcross have not appreciated one bit since they were built 2-5 years ago. If townhouse living is what you're looking for, then by all means, purchase one. Just make sure you are committed to living in it for the next 10 years. Otherwise, stick with single family houses in that area.

[Parsec]

Originally Posted by 'thaDOME'

Any thoughts on Townhomes in Norcross or Duluth?

I have another friend who bought a townhome in Duluth off Pleasant Hill shortly before getting married. I think the only reason for buying a townhouse in this area is if you want something "brand new" and you can't afford anything else. Personally, I don't see what the difference is between a new house or a 10 year old house. For the price of a brand new townhome, you could get a 10 year young house in the same area that offers more space and flexibility.