Metro Atlanta homebuilders believe the housing industry will improve in 2009, but differ on when and by how much. This is good news for Charlotte NC Real Estate. Among the most optimistic is Tom Justice CEO of Legacy Communities LLC, who thinks the worst of the housing market may be over. Recessions historically could last 6 to 9 months and the United States has been in a recession since December 2007, he said. This one is different because it's global, Justice said. But I think most of it is done, and blue skies are on the horizon. Legacy is the second-largest home builder in Metro Atlanta, according to Atlanta Business Chronicle 2008-2009 Book of Lists, Builders who see a housing recovery 2009 site as reasons historically low mortgage rates and the hope that incoming President Barack Obama's economic stimulus package will include help for home buyers. I think there will be a stimulus package and a jobs package from Washington, said Steve Smith, president of the Greater Atlanta Homebuilders Association, whose 2700 members make it the second-largest home builders group in the country. The ultimate solution to the problem is job creation and the resulting up tick in consumer confidence, he said. I really believe the new president will do those things. Chuck Fuhr, Atlanta division president of Ryland Holmes, a division of Ryland Group Inc. thinks housing will recover more slowly late in 2009 because of the number of foreclosed homes on the market. Georgia had 10,000 foreclosure filings which includes default notices, auction sale notices and bank repossessions in November, up 1.04% from October 2008 and up 11.54% over November 2007, according to the most recent data from RealtyTrac Inc. Atlanta has ranked number 20 for metro cities with the highest foreclosure rate, according to RealtyTrac. As long as we are competing with foreclosed homes and specs on the market, we’re not going to see a big improvement, Fuhr said. We are competing with foreclosures in our own neighborhoods. For the immediate future, selling houses will be the biggest challenge for homebuilders, even above tight credit, said King manager of homebuilder Ivey Chase LLC. House sales reduce inventory of your builders some liquidity, easing the banks concern about builder credit, he said. Tight credit will come into play once builders have depleted inventory and have to start building again, King said. Steve Palmer, chief financial officer for Bowen Family Homes Inc. thinks new-home inventories are ready getting pretty thin. I guarantee you all of the public builders have next to no inventory, he said. Our inventory is down about 70% from last year. Credit is always playing a role in starting new homes, Palmer said. He’s had to provide mortgage approval letters to lenders to get construction loans for homes that are pre-sold something he's never had to do. Palmer suspects standing new-home inventory is actually starting to be low for the Atlanta market in some areas.

New-home inventory should be pretty well gone by summer we should be in better shape for the second half of the year. 2008 has pretty much gone down as a loss, King said. New-home sales in Atlantis slid 41% in 2008 two 22,000 from 37,7000 in 2007 according to preliminary data from Metrostudy Inc. Bowen, the area's fifth-largest builder, just had one home sale in December down from about 55 a month until August. But Bowen already started to see better domain, signing seven contracts in early January, Palmer said.