ATLANTA, G.A.. – Bryan Crabtree, a veteran Radio Broadcaster and Housing
Executive is blowing the whistle on real estate in many parts of the country
The housing market is significantly outpacing wage growth, has seen astronomical
appreciation in the past year and is experiencing conditions that are unsustainable
even in the near term. We might have 6-12 months of favorable conditions remaining
says Crabtree, especially in Atlanta.
Crabtree continues, This doesn’t mean it’s not a fantastic time to sell for now. It
simply means it’s a very dangerous time to buy. For sellers, many markets including
Atlanta are experiencing a significant inventory shortage, rising prices and average
market time of fewer than two weeks. Atlanta-Metro, one of the nation’s largest real
estate markets, is no exception. So, how could this threat be real?
One of the main head-winds in the real estate industry is in homes over $750,000
which lost a substantial tax benefit in the GOP-Tax Bill signed by our president last
December. Additionally, rising interest rates, which are resulting from a more robust
economy, are affecting affordability putting significant downward pressure on values.
These converging issues are, alone, enough to stifle values. However, the excessive
amount of new construction in Atlanta and other markets over $500,000 is creating an
actual inventory explosion. Many of these homes aren to present in local MLS
statistics but are available at new-homes sales centers. This pressures home prices
in the $400,000 to $700,000 range down into the $300’s to $600’s.
Homes valued under $250,000 are rapidly rising in value mainly because there is
much more limited new-construction ‘on or off the books.’ This will continue until the
media narrative on housing turns negative returning this price range into a normal
market and the mid and high-end range into a declining market.
I expect peak prices to decline over the next 24-36 months, even if the economy
remains strong. If the economy weakens it could be much worse.
Housing wire (August 7, 2018): From January to May, , the average principal
and interest payment increased $138. Some markets are seeing new reasons for a
slowdown in growth, such as Seattle, where the housing market is beginning to slow
due to the Chinese buying market drying up.
Crabtree adds There has been a significant flow of cash into the U.S. real estate
economy since the peak of the crash, from international and institutional investors,
buying up distressed properties. Foreigners bought a record number of properties
within the United States in 2017. We are also beginning to see the “Johnny come
lately-investors’ overpaying and ‘bidding up’ investments to flip much like we saw in
2006 (before the last crash). It is a form of potentially ‘toxic’ speculation (that could
net an endless supply of inventory which could drive prices down as investors dump
speculative inventory). It’s happening all over Atlanta. Another crash is on the
horizon? How bad will it be? I’ll tell you....
Crabtree can provide an exciting, ratings-provoking analysis of the looming crisis,
how it will be completely different from the last and why for informed viewers/
audience it is more of an opportunity than a threat. For most, however, it may be just
as shocking and painful as the last (because the job market and expanding economy
are distracting most people from the reality beneath the surface).
Crabtree, a former Partner and Executive in a seven office, multi-state real estate
brokerage with over 400 agents and nearly 40 employees has been working dual
careers in housing and talk-radio broadcasting for the past 20 years in Tennessee,
Georgia and South Carolina. My focus is solely on Atlanta, Georgia now. My kids go
to school here, I live here and I work here. Crabtree presently operates
‘TheRealEstateExperts.com' brokerage based in Buckhead with his team serving
most of the Metro Atlanta market.
Crabtree can be heard with his wife, Mackenzie Crabtree, on Atlanta-WSB Radio
discussing housing during The Sean Hannity Show and Brian Kilmeade Show. The
Crabtrees also host “TheRealEstateExperts.com Housing Show” Saturdays at 9am
on Atlanta’s AM 920 The Answer, WGKA and Sundays at 10am on Biz 1190, WAFS.
Crabtree is the author of the recent book, The Trump in You (an account of winning
in business and politics through amazing marketing and positioning) published on
amazon.com and his newest book, The Intelligent Homeowner which helps home
buyers and sellers with the best practices on buying, selling and owning real estate to
Bryan is available for on camera and/or on microphone interviews to discuss or
analyze this press release or other financial/housing related matters.
For booking or media inquiries contact his executive assistant, Karrie Soto at
firstname.lastname@example.org or 404-775-4045.