FROM OUR PRINCIPAL BROKER
WESLEE KNAPP
As we reach close out 2024 and look ahead to 2025, one of the primary issues on everyone’s mind continues to be housing affordability in Atlanta. Affordable Housing can mean different things to different people and doesn’t always carry a consistent definition. What’s affordable to one person may not feel affordable to another.
Atlanta is at a crossroads in urban planning. Will we make the needed changes to encourage affordable housing, or will we become a city where only the most affluent can live, and everyone else must commute into the urban centers?
At Keller Knapp, we have been at the heart of this issue in recent years – educating our agents on affordable housing, working with builders to encourage innovative ideas to create more affordable housing units, and aligning ourselves with organizations such as the Atlanta Land Trust, who are actively engaged in creating more affordable housing in our city.
Our 2024 Annual Report highlights some of the key aspects of affordable and accessible housing around the city, and where buyers might still find a home they can afford. With nearly 200 agents in four Atlanta offices, we continue our commitment to our original company mission – to be a great Neighbor. Local Real Estate Expertise... Like Only a Neighbor Can.
Sincerely,
Weslee Knapp, REALTOR® Principal Broker, Owner
Local Real Estate Expertise... Like Only a Neighbor Can.
AFFORDABILITY
There is often a significant amount of confusion about what Affordability means in the Atlanta housing market. What’s “affordable” to one person may not feel affordable to another. It could be the average person who works full time making an average wage and can’t afford to buy or rent a home in a neighborhood near where they work. Or it could be a lower income family who has lived in the city for years but may be pushed out due to rising taxes or landlords who sell to developers. And the solutions to these problems, from an urban planning perspective, may be very different.
For purposes of our report, we use the term Accessible Housing to refer to housing (rental or purchase) that the average person in our workforce can afford. Teachers, police officers, retail workers, restaurant and hospitality employees – this is our workforce and there should be housing they can afford within reasonable proximity to where they work.
Affordability is defined by the federal government as a household not paying more than 30% of their total income towards rent or mortgage payments, utilities, taxes, insurance and other related housing expenses. For cities to determine how to best support their affordable housing needs, they look to Area Median Income (AMI) as a tool. AMI is a measure of residents’ median income in an area and is calculated annually by the US Department of Housing and Urban Development (HUD). For 2024, HUD established AMI at $103,200 – the median amount one household with four family members earns in one year. HUD then adjusts the incomes based on the number of persons who may be in a family.
In 2024, a family earning 80% of the AMI could “afford” to purchase a home with a sale price maximum of $268,320. If they earn 120% of the AMI, their maximum price increases to $402,480. However, even at 120% of AMI, a family would be limited in the communities they could find an affordable home to purchase. As we look at Accessible Housing in each of our 10 Metro Atlanta areas in this report, we’ll focus on where we believe buyers who are near the AMI (between 80% - 120%) could reasonably afford to purchase a home.
Affordable Housing is the amount a person or family can spend so that total housing expense is 30% or less of their total income. In Atlanta, AMI for a family of four was $106,600 in 2024.
$402,480 120% OF AMI
$402,480 MAX SALE PRICE FOR A 3-BEDROOM HOME
$335,400 100% OF AMI
$335,400 MAX SALE PRICE FOR A 3-BEDROOM HOME
$268,320
Source: Atlanta Beltline, HUD
SINGLE-FAMILY
2024 SINGLE-FAMILY HOMES REPORT
2024 ANNUAL REPORT
SINGLE-FAMILY HOMES
MEDIAN SALES PRICE $1,579,629
Northwest Atlanta is, by far, the most affluent area in the city. Historically, these neighborhoods have been inaccessible for first-time buyers and even rental rates make it challenging for our city’s workforce to afford housing in this area. As the City of Atlanta considers ways to create more affordable and accessible housing options, Northwest Atlanta would be a prime place to consider. It is a busy economic center in the city, with a tremendous number of workforce jobs in the retail, restaurant, service and hospitality industries. It is hard to imagine that accessible housing will ever be an option in Northwest Atlanta, but improvements in public transportation and alternative transit infrastructure may help relieve commuter traffic congestion in the area. THIS YEAR? NORTHWEST ATLANTA WHAT’S NOTABLE IN
NORTHWEST ATLANTA
NEIGHBORHOODS
Sandy Springs (W)
Sandy Springs (S) Chastain Park
Peachtree Hills/Peachtree Park
SINGLE-FAMILY HOMES
Northeast Atlanta has always been home to some of Atlanta’s more affluent neighborhoods. However, Doraville represents a community that offers accessible workforce housing in a convenient location. While prices increased 13.2% in 2024 compared to last year, the Median Price in 2024 was $412,167, making it a relative bargain compared to nearby neighborhoods. Doraville offers buyers proximity to downtown Atlanta and Buckhead amenities and is the Southeast’s most prosperous immigrant-owned small business community. In addition, the 127-acre Assembly Studios (site of the former GM Assembly Plant) completed the first phase of construction, which includes creative studio and office space. Phase 2 of the development will bring restaurants, retail and green space that are part of the planned development.
2024 ANNUAL REPORT
SINGLE-FAMILY HOMES
MEDIAN SALES PRICE
$478,667
MEDIAN SALES PRICE
% CHANGE FROM 2023 10.3%
SOLD PRICE/LIST PRICE 99.3%
SOLD 263 DAYS ON MARKET 12
CITY OF TUCKER WHAT’S NOTABLE IN
Tucker is a great example of an area that has just recently become what many would consider inaccessible housing. Median Sales Price hovered around $350,000 in 2021, but in 2024 prices in both East and West Tucker were in the $450-500,000 range. That being said, there are still homes available with price tags within the accessible housing range, and buyers willing to make a few compromises on their first purchase may be rewarded with a great investment opportunity. In recent years, City of Tucker has represented a hidden gem – conveniently located right at the perimeter of Atlanta, attractive prices and with a growing downtown business district. As City Tucker has gained in popularity, first-time buyers may need to look for a home outside the Tucker city center.
SINGLE-FAMILY HOMES
SINGLE-FAMILY HOMES
Prime Intown Atlanta neighborhoods don’t offer many opportunities for Accessible Housing. With an area Median Price of $943,932 in 2024 (ranging from $618K-$1.3M across neighborhoods) most first-time buyers will not be able to afford to purchase a home in the Intown Atlanta area. The development of the Eastside Trail on the Atlanta Beltline has pushed these neighborhoods out of reach in recent years. Old Fourth Ward, Cabbagetown and Reynoldstown offered accessible housing as little as 5 years ago. We believe the Intown Atlanta area represents a tremendous opportunity for the City ofAtlanta to create more high-density (accessible) housing along public transit and the Beltline, while improving infrastructure to encourage alternative modes of transportation.
INTOWN ATLANTA
SINGLE-FAMILY HOMES
MEDIAN SALES PRICE
$852,125
WHAT’S NOTABLE IN MEDIAN SALES PRICE % CHANGE FROM 2023 -2.0% SOLD PRICE/LIST PRICE
CITY OF DECATUR
THIS YEAR?
City of Decatur offers a great opportunity for top-notch schools, a thriving downtown business district, green space and walkable communities. Located just 6 miles east of downtown Atlanta, Decatur is nestled in the perfect location. For these reasons, it has long been a community that attracts buyers at a higher price point. Interestingly, the Oakhurst neighborhood in Decatur saw an overall decrease (-8.7%) in Median Sale Price in 2024, perhaps due to prices “settling” a bit after staggering price increases in the preceding years. The Median Sale Price in 2024 was the same as 2022, hovering right around $847,000.
2024 ANNUAL REPORT
SINGLE-FAMILY HOMES
MEDIAN SALES PRICE
$406,354
WHAT’S NOTABLE IN MEDIAN SALES PRICE
SOUTH DECATUR
THIS YEAR?
The South Decatur area offers great opportunities for first-time buyers to find accessible housing close to the city. In particular, Belvedere Park and Candler-McAfee are worth a look.
Conveniently located just south of City of Decatur, Belvedere Park posted a Median Price of $301,000 in 2024. And, Candler-McAfee, located just minutes from East Atlanta Village, came in at $321,667. Both neighborhoods have been tremendously popular with first-time buyers in recent years. For those looking for a quick commute to the east side of Atlanta and Decatur, Candler-McAfee and Belvedere Park are worth a look!
SOUTHEAST ATLANTA
SINGLE-FAMILY HOMES
SALES PRICE
CHANGE FROM 2023
SOLD PRICE/LIST PRICE
ON MARKET 19 MEDIAN SALES PRICE $471,425
#UNITS SOLD 696
SOUTHEAST
Southeast Atlanta is a diverse area with a wide price range across neighborhoods. The Beltline adjacent neighborhoods may have priced out many first-time buyers, but there are still very affordable homes in some communities. Bouldercrest
Acres/Gresham Park, located just south of East Atlanta Village is well priced at $304,833. And, home prices in Lakewood seem to have settled around $260K after staggering increases in recent years. These accessible neighborhoods represent an opportunity for buyers to invest in real estate in today’s dollars and build equity over the next few years as property values continue to increase.
2024 ANNUAL REPORT
SINGLE-FAMILY HOMES
MEDIAN SALES PRICE
$323,033
NOTABLE
SOUTHWEST ATLANTA
Southwest Atlanta has come a long way in recent years, driven primarily by implementation of the Westside Trail of the Atlanta Beltline. It seems that every day a new development is announced, and several key parcels are prime for improvement including Murphy Crossing and West End Mall. Every neighborhood in the Southwest Atlanta area falls into our definition of accessible workforce housing, except for West End and Adair Park which are Beltline adjacent. In particular, the tri-cities area (College Park, Hapeville, East Point) has become a tremendously popular option with convenient access to restaurants, retail, public transportation and parks... all just minutes from downtown Atlanta. Houses in these neighborhoods ranged in Median Price from $296-381K in 2024.
SOUTHWEST ATLANTA
SINGLE-FAMILY HOMES
MEDIAN SALES PRICE
$587,696
ON MARKET 18
The Westside has been the darling of redevelopment in recent years. Driven by the Atlanta Beltline and Westside Reservoir Park, the whole area has been ripe for investment. And, while prices have certainly increased, there are some great opportunities for first-time buyers. Collier Heights and Washington Park represent opportunities for accessible housing, with a Median Price of $253,958 and $284,083, respectively. On the higher end, Grove Park/Howell Station is worth a look at a Median Price of $403K in 2024. If convenience to downtown Atlanta and a quick commute anywhere on the west side of town is a goal, these communities should be on the radar for buyers.
& TOWNHOMES
TOWNHOMES REPORT
Our overview of the Condo and Townhome market includes 5 Metro Atlanta Areas that make up approximately 85% of the total Residential Attached
These areas are rich in high-density and multi-family housing. We also present Condos and Townhomes separately, because there is a substantial price difference between the two types of homes.
TOWNHOMES
TOWNHOMES
TOWNHOMES
TOWNHOMES
EAST ATLANTA OFFICE