New Orleans Real Estate Inventory
One of the trends we track in our local real estate market is the months of inventory available in neighborhoods. The standard for determining how a market is performing is as follows:
Less than 5 months inventory = seller’s market
5-6 months inventory = balanced market
More than 6 months inventory = buyer’s market
So, how are the various New Orleans neighborhoods doing?
Surprisingly, the Mid City, Marigny, and Bywater areas are part of a balanced market right now, although inventory is trending down with the increase in sales north of St. Claude in the Marigny and Bywater.
Both the 9th Ward and Algiers have seen a dramatic drop in inventory this year, moving from a firm buyer’s market to very well balanced. As prices in the city continue to rise, watch for Algiers to make strides in 2016.
The hot hot hot CBD and Warehouse District markets appear to be cooling, with inventory tripling since the beginning of the year. Is this a result of skyrocketing prices pushing units out of reach for many buyers or are more owners jumping in to take advantage of the equity they have built in their properties? We think it’s a combination of both.
The French Quarter traditionally has a significant number of properties for sale, but inventory has dropped substantially since January.
In the meantime, home sellers in the East continue to struggle, with the highest amount of competition.
The markets that are moving are heading in the same direction – in favor of sellers, with lower inventory in both Gentilly and the University area of Uptown.
Gentilly is a rising star with affordable prices, but buyers need to find their place now, because our prediction is a seller’s market in 2016.
Need assistance buying or selling your New Orleans home? Call us today at 504-327-5303. With experts in every neighborhood, we’re happy to help.