Atlanta, GA Housing Market Report

The Atlanta-Sandy Springs-Alpharetta housing market is currently undergoing a significant transition toward a buyer-friendly environment as of December 2025. With active inventory surging by 10.71 percent year-over-year to 27,717 units and homes spending an average of 90 days on the market, the urgency that characterized previous years has dissipated. The sale-to-list ratio of 0.99 suggests that while sellers are still achieving near-asking prices, they no longer hold the absolute leverage they once did, as buyers now have more options and time to conduct due diligence.

Price trends in the metro area have shown a consistent downward trajectory over the latter half of 2025. Since July, the median home value has declined from $385,739 to $379,908, marking a 4.25 percent decrease compared to the previous year. This cooling is likely driven by the accumulation of inventory and the increased time it takes to move properties, which has forced sellers to be more realistic with their pricing strategies. Conversely, the rental market remains robust, with median rents rising nearly 4 percent to $1,884, indicating that many would-be buyers may be opting to rent while waiting for further price corrections or more favorable financing conditions.

Looking ahead, the Atlanta market presents a strategic window for buyers who were previously priced out or exhausted by bidding wars. The combination of falling home values and rising inventory provides a level of negotiating power not seen in several years. Sellers, however, must adjust their expectations; properties are taking over two weeks longer to sell than they did last year, making professional staging and competitive initial pricing essential. For investors, the divergence between falling purchase prices and rising rents suggests a potential improvement in cap rates, though long-term appreciation may remain muted until the current inventory surplus is absorbed.