Georgia's growth moderates as housing market seeks balance
Economic drivers
Georgia's manufacturing sector, particularly food processing, is expected to outperform national trends in 2026. Ongoing infrastructure investments and strong remittance inflows also contribute to resilient domestic demand. Major employers like Delta Air Lines and Children's Healthcare of Atlanta continue to be significant job providers.
Housing market right now
The median sales price for homes in Georgia held steady at $360,000 in 2025, with average sales prices seeing a modest 2.0% increase. Inventory levels increased by 13.1% in 2025, and homes took longer to sell, averaging 56 days on the market. Mortgage rates have eased, with the average 30-year fixed rate dropping to around 6.2% by late 2025.
Migration patterns
Georgia ranked among the top 10 states for in-migration in 2025, according to U-Haul's Growth Index. This trend aligns with a broader movement towards southern and Sun Belt destinations. People are relocating to Georgia for economic opportunities, landscapes, recreational options, and mild weather.
Headwinds
A slowdown in population growth, a decline in the labor force, and uncertainties in trade policies are weakening Georgia's economic momentum. The risk of a recession remains elevated in 2026 due to slower growth and national economic pressures. Housing costs are expected to remain challenging due to an abiding shortage, tariffs on construction materials, and a pinched labor supply in the construction industry.
Key facts
- Georgia's inflation-adjusted GDP is projected to increase by 1.5% in 2026. (University of Georgia Terry College of Business, January 2026)
- The median sales price for homes in Georgia remained at $360,000 in 2025. (Georgia REALTORS®, February 2026)
- New listings in the Georgia housing market rose by 7.8% in 2025. (Georgia REALTORS®, February 2026)
- Georgia ranked 10th nationally for in-migration in 2025. (U-Haul, January 2026)
- Governor Kemp's 2026 budget proposal includes an additional $1.8 billion for new express lanes on I-75 in Henry County. (Governor Brian P. Kemp Office of the Governor, January 2026)