Coldwell Banker Gosslee

Coldwell Banker Gosslee's November Housing Market Report


Geaux Real Estate
Posted: December 27, 2019 by Jessica Wimberly

GEAUX REAL ESTATE!

We have come to the end of year and the joys of the Holidays! As a gal who loves football, I have to admit I’m out of my mind excited for our local LSU guys  - Micah Baskerville, Lloyd Cole, Terrace Marshall Jr. and Joseph Evans - on the road to the national championship along with Tech beating out Miami in the Independence Bowl yesterday.

Since I’m competitive by nature doing these market blogs lets me get excited when our Northwest Louisiana housing market does well against the national numbers. And when the National Association of Realtors released the findings of its monthly Existing Home Sales Report I had a smile on my face.

We compare really well this month!

Nationally, the U.S. is on pace to see 5.35 million homes sold – a solid number –up 2.7% over last November’s figures. The median price (middle) of all November home sales was $271,300, up 5.4% from a year ago. It’s the 93rd straight month where we have seen year-over-year increase in price.

The demand for homes was made greater as mortgage interest rates remain extremely low at under 4% for a 30-year, fixed rate mortgage. This has brought even more first-time buyers into the market as NAR reports that 32% of all buyers were in this category, up a bit over last year.

The rise in prices is definitely being impacted by the imbalance in the supply vs. demand equation as there are only 1.64 million homes currently on the market nationwide. This is down 5.7% over a year ago and equates to a rather low 3.7 supply of homes. Obviously with the high demand meeting low inventory levels, the seller can hold out and get more for their home.

And at the lower price points where demand is highest, there are even lower sales figures. NAR reported that sales of homes priced below $100,000 are down 16% over last year while those priced between $100,000-$250,000 are off 4%.

Now that I’ve shared the national scene, via the Coldwell Banker Gosslee Residential Real Estate Report. I’m able to compare and contrast the U.S. to our local world.

It is most important for us to recognize the affordability of our real estate market.

Our current median price is just $182,000. While it is up 4% over last November, we are just about $92,000 cheaper than the U.S. figure.

The 330 November sales in Caddo, Bossier and Desoto Parishes were also up 4% over last year. And while we have a healthy supply of homes, we did see a drop of 8% of active listings on the market to a current total of 1,956.

Please be aware that the numbers that I just shared were for November compared to November 2018. Here is a cumulative look at how we are faring for all of 2019 in Caddo, Bossier and Desoto Parishes:

 

Total Through 11/30/18

Total Through 11/30/19

% Change

U.S. Change

Home Sales

4,406

4,483

+2%

+2.7%

Median Home Price

$165,770

$175,455

+6%

+5.4%

 

I also wanted to focus on a bit on the lower price point where we have seen a drastic reversal in sales over last year in Northwest Louisiana.

There have been 106 fewer home sales region-wide in the under $100,000 market (-10%) and eight fewer in the $100,000-$200,000 range. These were the only two price segments where we saw a decline in sales.

Breaking it down further, the bulk of that downturn has been in Bossier Parrish where the under-$100,000 home market is down 23% in sales and the $100,000-$200,000 is off 3%.

Here is a look at how each price point is faring in our three parishes:

 

2018 Sales

2019 Sales

% Difference

# of Listings Currently on the Market

Month Supply

Days on Market

Less than $100,000

1038

932

-10%

396

5.7

95

$100,000-$199,999

1787

1779

Flat

706

6.0

92

$200,000-$299,999

1038

1156

+11%

438

4.8

119

$300,000-$399,999

357

381

+7%

171

4.9

158

$400,000-$499,999

113

126

+12%

106

10.6

195

$500,000+

73

109

+49%

139

19.9

208

 

You will notice that we do not have the same low inventory levels as the U.S. Outside of the upper tier, most of our market would be considered a “neutral” market where neither buyer nor seller has a distinct negotiation advantage.

But the high end definitely remains a buyer’s market where the number of homes for sale allows buyers to be “choosy” as they also work to pay a lower price. It is important to note that even in our buyer’s market, the eventual sales price is still coming within 5% of the listing price at the $400,000+ price level.

This high end is definitely seeing improvement. Last year at this time in the $500,000+ sector, we had a 25.9 month supply of homes which is now down to 19.9. While still very high, we are slowly chipping away at the number of available homes. Bossier is making the largest improvement having doubled the number of ultra-luxury homes over last year at 46 with one month to go.

Let’s close this month’s report by looking at the mid-tier level, the sweet spot in our market between $200,000-$400,000. Caddo and Bossier Parishes have combined for 153 more home sales in this price point, up 11.7% over a year ago. It is also the sector with the highest demand. There are currently 609 homes for sale in this range equating to a 4.9 month supply.

If you are thinking about buying or selling your home these numbers obviously only tell a piece of the story. The data can differ by neighborhood and even by the block and our Coldwell Banker Gosslee agents are the best in the business in helping provide the advice and consultation you need.

I hope you have a Happy New Year!

Geaux Tigers! Geaux Joe Burreaux! Go Tech!

If you have any questions, please ask any of our 150+ agents in Shreveport and Bossier City or reach out to me at jessica@cbgosslee.com

 

 

 

 

 

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