Condos are selling quickly at the luxurious Sovereign condominium tower located in Buckhead. Back in 2011, the developer was lucky to close just 6 units.
How times have changed. I mentioned in my last post the condo market activity has picked up quite a bit. Buyers who are opting for new(er) construction really need to get motivated.
At Sovereign, there is nothing left for sale in the building under $1,395,000 (approximately 2,500 square foot 2 bedroom with den). One 3-bedroom condominium remains priced at $2,499,000 (approximately 3,900 square feet). This is a “K” unit. $2,499,000 also happens to the max price in the building now.
So why are units disappearing at a brisk pace in the building? For those buyers opting to finance their purchase in the building, jumbo loans are getting easier to obtain. There are still rigorous credit checks, but there are lenders to choose from who are doing jumbos now (and at attractive rates). That makes it much easier to purchase in the building. Only 5 out of the 20 buyers actually financed their purchase.
More importantly, buyers are feeling more confident about our condo market and where it’s headed – which is why 15 of those buyers parted with their hard-earned cash to become part of the building. This year they have closed a total of 20 units and are on track to possibly sell out early next year. With only 17 units remaining, this is a strong possibility.
(Reprinted from The Skyline Blog by Kevin Grieco)