East Baton Rouge Parish Real Estate Market Report
The data used in this report were extracted from the Greater Baton Rouge Association of Realtors MLS database. Only data for detached single family (DSF) homes were used and represent sales through the end of July 2010. The data are presumed accurate but are not warranted.
The following two charts show unit sales (closings) for a given month separated by year. The first chart represents unit sales for new construction and the second represents unit sales of previously owned homes.
Except for the month of May, unit sales of new construction in EBR parish was lower than in any of the previous five years. In the re-sale market segment the same held true except that April 2010 was slightly ahead of April 2009.
The next chart illustrates the downward trend in home sales within the parish since 2006.
Despite this softening in terms of unit sales, home values have been preserved as the next chart illustrates.
We can see that the average price per square foot of living area has not dropped. In fact, it is higher than in any of the previous five years.
The next two charts show the absorption rates for new construction and previously owned homes for the years between 2005 and 2010 broken down by the price range of homes.
We can see that, overall, there is a neutral market for new homes with a 6.5 month supply. During 2010, the highest velocity of home sales in the new home segment has been for homes priced between $200K and $300K. This price range has accounted for more than 50% of all new homes sold in the parish this year and in this range it is clearly a seller’s market. On the other hand, there is nearly a 2-year supply of new homes priced between $350K and $400K.
In the re-sale market segment, it is a buyer’s market overall. It is a neutral market only for homes priced below $100K. The highest velocity of home sales occurs in this segment for homes priced between $100K and $200K.
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