The Woes of Atlanta’s Housing Market

The New York Times has a story on Atlanta’s depressed housing market. It paints a dire picture of my hometown:

The reasons for Atlanta’s housing woes are both representative of the nation’s troubles and special to this former boomtown, where housing appreciated handsomely, though not to the lofty heights of Las Vegas, Miami and New York.

Where the region once attracted thousands of prospective home buyers drawn by plentiful jobs and more affordable living, that influx has dwindled. Local unemployment, at 9.2 percent, is slightly higher than the national rate, in part because one in every four jobs lost was connected to real estate, a much higher rate than in the rest of the country. Those jobs have yet to return, while even people with work are having trouble qualifying for loans.

The region, plagued by mortgage fraud and developers who dotted the exurban landscape with large luxury homes that never sold, is inundated with foreclosed properties. In fact, Atlanta has the most government-owned foreclosed properties for sale of any large city, according to the Federal Reserve.

Quite simply, it’s a buyer’s market right now:

Atlanta has suffered greatly from a contracting pool of home buyers. The number of people moving from within the United States to Atlanta peaked at 100,000 in 2006 and plunged to just 17,000 by 2009, the latest census figures available.

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