Looking for a home in the LSU area this Spring? You’re gonna need some help.
Over the past couple of years the monthly supply of homes, a key indicator of the balance between supply and demand, has gradually gone down in the areas surrounding LSU. Since the August 2016 flood that trend has continued. Those of us who live here know that since August the traffic on Perkins, Highland, Acadian, Essen, and Bluebonnet has increased dramatically as our neighbors from other parts of the Parish have moved here. We’re all having to give ourselves more time to get to wherever we need to go. So it’s not surprising that in December there was just a 3.38 month supply of detached single family homes near LSU. That’s a classic indicator of a seller’s market and it’s made finding a home near LSU a real challenge.
Is it temporary or permanent and what impact has all of this had on home sales and values? It looks like at least some of the people in those long lines of traffic have decided to stay in the area. Low inventories mean that nice homes are not going to stay on the market very long if they’re priced right and in good condition.
Not surprisingly, we’re also seeing an increase in home values. Since 2014, the average price of a detached single family home in the areas near LSU have increased from $310,261 to $341,217 … a 10.0% increase. It’s hard to say what affect the flood has had on value but my daily experience helping clients buy and sell homes suggests that we’re looking at a sustained upward shift in the price of homes. It’s just my opinion, but I don’t think it’s like Katrina when folks who moved here went back to New Orleans. I think that flood victims who have decided to buy homes in area 5 … homes near LSU … are likely to stay.
So, what do you do if you’re in the market for a home near LSU? Work with a responsive and experienced agent who can:
1) Send you listings, directly from the MLS, as soon as they are entered into our systems,
2) Help you negotiate the deal. You don’t want to be in a multiple offer situation without a pro by your side,
3) Help you identify the resources you need to successfully move the purchase through the contract to close process, e.g., lenders, home inspectors, contractors, title companies, insurance agents.
And don’t forget …
4) Get yourself pre-qualified for a loan! Know how much you can afford and be prepared to act quickly. Most sellers will not consider an offer without a pre qualification letter or proof of funds for an all cash transaction.