Buckhead Months of Inventory

I’m going to provide inventory reports of Buckhead Atlanta homes for sale on a periodic basis. When I help clients determine the value of a home it’s part art and part science. The “months of inventory” report is a valuable tool in determining whether it’s a seller’s market or a buyer’s market.

When you do an inventory analysis for a given area and/or price range it provides a snapshot as to how the overall market is performing. It’s fairly simple, you take the current homes on the market and divide it by the amount of homes that have sold in the last twelve months and you end up with the months of inventory. Generally I view less than twelve months home inventory as a seller’s market and more than twelve months as a buyer’s market. This twelve month dividing line can be debated, especially in the higher price ranges, since more expensive homes take longer to sell.

Here are some Buckhead homes “months of inventory” numbers as of today:

$500,000 – $1,000,000 – 18 months of inventory
352 currently active, 231 sold in last 12 months

$1,000,000 – $3,000,000 – 2 years and 2 months of inventory
312 currently active, 145 sold in last 12 months

$3,000,000 and above – 6 years and 10 months of inventory
82 currently active, 12 sold in last 12 months

Related posts:

1. Months of home inventory for Buckhead
2. Buckhead home inventory for March 19th
3. Home Inventory for July 9, 2009
4. Metro Atlanta Home Inventory for July 31, 2009
5. Home Inventory for June 29, 2009