Bibb County’s housing market sees slight improvement for early 2024. Here’s what we know

Bibb County’s housing market appears to be on the rebound from a shortage in recent years, as new property listings increased 40% in February 2024 compared to February 2023, according to the Georgia Multiple Listing Service.

The surge in new listings is a good indicator for the county as it enters the seasonal shift of spring, which is a peak time for the housing market to become active and competitive, said John Ryan, the chief marketing officers for the Georgia Multiple Listing Service.

“This is where spring break starts happening. This is where people start looking into the horizon for putting their houses on the market or possibly think about buying a house as summer rolls around,” Ryan said.

GAMLS is a searchable database that allows Georgia real estate professionals to share their listing data throughout the marketplace. It does not display the entire data set of Bibb County’s real estate market, only members of GAMLS.

Bibb County saw 197 new listings last month, a sizable jump compared to the 140 new listings in February 2023, according to the database.

HIGH INTEREST RATES, LOW INVENTORY

Despite positive signs, buyers and sellers remain hesitant amid high interest rates. Ryan said the interest rate is around 7%, which has become both a driving force in the housing market and a source of concern for homeowners.

“As housing interest rates go up, that impacts the buying power of individuals,” he said. “There’s a whole inventory that is kind of sitting on the sidelines because of interest rates that are out there.”

GAMLS data also shows that Bibb County’s housing inventory remains low, which is driving up the median sales price. Between February 2023 and February 2024, median sales prices increased about 8%, from $139,000 to $150,000.

“It’s just basic supply and demand,” Ryan said. “When there are less houses available, you will continually see prices rise, and that is exactly what we have seen.”

Increased pricing affects affordability by putting more pressure on home buyers to make larger down payments and finance mortgages, he added.

The housing scarcity persists, particularly now when inventory levels have fallen in the market.

Ryan said the GAMLS market has slightly surpassed a three-month supply of available homes, which is a measure that shows how long homes on the market would last if there weren’t more homes added to the market.

This statistic is great in comparison to the market post-pandemic, when the service saw a one-month supply of housing availability, Ryan said. But it is still considered low because “a balanced market between buyers and sellers is generally considered six months of available inventory,” he said.

When will be the right time to buy or sell in Macon?

Middle Georgia saw a 40% decrease in home sales in 2022, said Greg George, director of the Center for Economic Analysis at Middle Georgia State University.

Inflation plays a part, as a home that may have cost $350,000 three or four years ago may now cost $450,000, Ryan said.

So when should Bibb County residents expect the right time to buy or sell?

Ryan said housing experts predict that interest rates will stabilize or decrease by the end of 2024. Until that happens, Ryan said neither side of the market will gain confidence and make a move.

Home construction is also an alternative to increasing inventory, but that route will take years to restore the lack of building, he added.

“If we can unlock some of the effects of the buyer-seller sentiment, then the housing market will get moving again,” Ryan said.

Study: Cash purchases are high in Macon

In addition to positive indicators in Macon’s market recently, a study showed Macon had the highest percentage of cash home purchases nationwide in 2023, with 61.5% of homes bought with cash, far higher than the national average of about 38%.

The study was conducted by ATTOM, a real estate data company that measured the rate of homes bought with cash in metropolitan statistical areas. Various metropolitan statistical areas saw an upward trend of purchasing homes with cash last year, according to ATTOM.

The report ranked Macon No. 1 ahead of nine other cities who also had high rates of cash purchases, including Myrtle Beach, South Carolina, which had 56.3% of home purchases with cash and Salisbury, Maryland, with 54%.