Welcome to your Monthy Market Snapshot! On the second Thursday of each month, we’ll post a snapshot of essential stats of the New Orleans Metro Real Estate Market for Single-Family Detached Homes. Drop us a line here if you wish to see stats specific to other areas around Nola!
Below you’ll find graphs for each stat in the graphic above. The charts are over a year to see the difference between 2022 & 2022. Metric definitions can be found at end of the post!
Questions? Reach out to one of our advisors for a chat!
New Listings are up 10.6% from 2021. Despite the recent economic commotion, sellers still have confidence that they can sell their homes.
Pending Sales are down 8.5% from the previous year. With interest rates rising, some buyers are trying to lock in their rates while others are taking a step back to evaluate the market after seeing the change in what they can afford.
Homes that are priced where the market agrees are spending 20% less time, 23 days, on the market than in June 2021. This isn’t surprising since we’re seeing interest rates on the rise. Buyers are trying to lock in rates sooner rather than later.
The Average Price per SqFt has increased to $182, over 10% from 2021. Remember, this is the number in the New Orleans Metro for Single Family Detached homes. This doesn’t mean that your home has the same Price/SqFt since it depends on your location, home condition, home type, and more. Still, we can see that real estate values have been appreciating overall in the market.
Homes for Sale are up 20% from 2021. Seems like buyers slightly disagree with sellers and are rethinking whether they should buy in the current market.
Closed Sales are down over 18% from 2021. Like pending sales, rising interest rates are causing some buyers to pause their journey after seeing the change in what they can afford.
We use this metric to aid in the determination of the type of market we’re in:
- If MSI<4 then we’re in a Seller’s Market.
- If 4<msi<6 then=”” we’re=”” in=”” a=”” balanced=”” market.<=”” li=””> </msi<6>
- If MSI>6 then we’re in a Buyer’s Market
Based on the homes that were active in June if no new listings are added and the buying pace stays the same, the market would only have 2.3 months’ worth of inventory. That’s up over 43% from last year which means we’re moving away from a Seller’s Market.
The averge number of showing a house gets before pending or under contract has decreased by over 16% to just 10 showings. This means that if you’re a seller, you should pay close attention to the number of showings you’re getting. If there’s no offer after 10 showings, be prepared to discuss the list price with your realtor.
Definitions:
- New Listings: A count of the properties that have been newly listed on the market in a given month.
- Homes for Sale: The number of properties available for sale in active status at the end of a given month. Also known as inventory. For this metric, the “12/6/3 months” calculation is the average of the most recent 12/6/3 months of data.
- Pending Sales: A count of the properties on which contracts have been accepted in a given month.
- Closed Sales- A count of the actual sales that have closed in a given month. Calculations are based on sold data.
- Average Days on Market: Number of days between when a property is listed and when an offer is accepted in a given month.
- Months Supply: The inventory of homes for sale at the end of a given month, divided by the average monthly Pending Sales from the last 12 months. Also known as absorption rate.
- Price Per SqFt: Calculations are based on sold data. Prices do not account for seller concessions. Average is the mean sales price for homes sold in a given month divided by the number of finished square feet
- Shows to Pending: The number of showings scheduled per listing before it was pending, under contract, during the selected reporting period.
Questions? Reach out to one of our advisors for a chat!