Valdosta, GA Market Update

[J. Mitchell Bernier]

Valdosta GA Market Update: Dec 2024

It’s been a while since I have been active on BP, but I am back! Here is a quick market update on Valdosta, GA and what we are hearing from others with boots on the ground.

Valdosta, like most markets, has seen an uptick in inventory since the beginning of the rate hiking cycle from the FED. Currently, based on Altos Research, inventory is up 10% YOY and this has put pressure on median list prices which are down 5% YOY.

We should see a continued rise in inventories going into next year, which is normal for this time of year. Also contributing to this rise, damaged homes from Hurricane Helene. We are starting to see homes come on the market that have suffered damage from hurricane Helene and instead of having them fixed, some are just listing them as is. Not as many compared to coastal towns after a Hurricane, but still some.

Transaction volumes will continue to be slowed, but homes that are priced in the $160,000-$250,000 range continue to perform best right now for resale. However, we are back to normalcy of 60 days or higher on the market.

What we continue to hear is that affordable homes are the continued need in Valdosta. There are some major developments continuing construction, however; the price points are upwards at $290,000 or higher and rent rates being advertised at $2,000 a month. There is still a shortage of homes under $1250 a month for rent that when advertised, they are being filled in a matter of days. We just had a section 8 tenant where the rent increase was approved from 995 to 1295 because of shortage and market rents for similar homes. What is interesting though, is that rental homes that are listed for sale are sitting a little longer. This is due to the strain on cash flow from the higher rates in investment properties. On recent projects that I have seen, LTV's north of 70% are struggling to pencil out on.

So, if you are shopping around, trust your numbers and don’t be aggressive on price, you may be only bidding against yourself.

Merry Christmas and Happy Holidays!