Despite the impression of most of the nation, parts of New Orleans that were high enough to escape flooding, the real estate market is booming in certain locations. The New Orleans real estate market velocity in November was up 50% over the same month a year ago [The Times-Picayenne].
Warning: The figures are based on signed contracts by a real estate brokerage Latter & Blum that claim a 20% market share.
This is not very scientific but it is consistent with the pattern seen in the second largest city in Louisiana, Baton Rouge which saw a 22% increase in the number of sales over the same period [Ch2/BR Advocate]. This was based on information provided by the Greater Baton Rouge Association of Realtors’ Multiple Listing Service. However, brokers say this market seemed to be cooling off as list prices were outpacing property values, partially due to investors trying to cash in on the surge in demand for housing.
The sweet spot in both New Orleans and Baton Rouge seems to be in the $100,000 to $200,000 range.
Brokers commented that New Orleans will be smaller and more gentrified when repairs are completed but will still be a “destination” place.
Tags: NAR, National Association of Realtors
This is a little surprising because most on the U.S. thinks all real estate in New Orleans is not worth anything.