Metro Atlanta home prices up 9.8%

Region’s February median sales price was $225,000, Re/Max says, and national median sales price was $228,700, up 8.1 percent over the year.

Metro Atlanta home prices are up 9.8 percent from a year ago, while the supply of homes for sale has continued to shrink, according to a report from Re/ Max.

The median sales price of a home sold in the region during February was $225,000, up from a median of $204,900 during the same month of last year, according to the real estate firm.

In comparison, the national median sales price was $228,700 — an 8.1 percent increase over the year.

The key factor is inventory — that is, the supply of homes listed for sale, said John Rainey, vice president, Re/Max Georgia.

In metro Atlanta, prices saw double-digit year-over-year increases in Fulton, DeKalb and Clayton counties, and the trend is not likely to reverse, he said.

The number of homes listed for sale last month represented only 2.2 months of sales.

That is down from 2.9 months a year ago — a number that was already abnormally low.

The smaller that number, the more the balance shifts in favor of sellers since there are more and more potential buyers for each home on the market.

Experts generally agree that in a balanced housing market, inventories should represent about six or seven months of sales.

The number of homes sold did not change much.

During February, there were 5,759 homes sold, just 1 percent more than during the same month a year ago.