The market is odd for a couple of reasons. The most suprising is that you never seem to have more than 4 or 5 good choices in New Orleans when you consider all your criteria. There are not a lot of new units coming on the market but not a lot selling either. Buyers are looking for the premium units where nothing has to be done. They of course have to be priced right as well.
Sellers have to Stage and Update ! I recently listed a condo at the Cotton Mill Condos where the owners hired a young lady to give them tips and ideas to get their unit ready for sale. Some was painting and getting rid of the clutter. They followed her directions to a great degree.
It was time and effort but it worked. It sold within the week and I know this is why it did. Both units in their final choices were down this way. I was even surprised at the effectiveness and I do this every day.
Sellers have to slot their unit to be competitive ! This means knowing what your competition is and what the final choices are going to be before you list. You need to be slotted to be one of the best in that class. A seasoned agent that works the market can show you where you need to be. Selling a place is all about timing. Take the steps to make you unit compete like the Cotton Mill couple. This save time and make you money in the end.
Tax credit rush is over but interest rates are at 4.625% this week ! That means the cost of money is as cheap as it has been for 30 yeas or more. Borrow a 100k and you principal and Intersest is around $520. The tax credit di create a flurry of activity and many who would have bought in May and June pushed up their buying to April. Once the flurry ended there will be a lull.
The weakness is still in the one bedroom units. The weakness is in condos that need to be updated. The premium units are getting all the action as things have reached that lull. The Louisiana Oil Spill has not helped but may mean if you are buying the sellers may just say yes to a lower offer than they would have taken in April.
The photo above is in the New Orleans Warehouse District where a lot of renovations are being done. I can easily count 8-10 complete renovations in the initial stages of work. This was not the case in the last three years so I know someone has confidence in the New Orleans market.
Maybe its the “gone factor” of no longer having Mayor Ray Nagin running the show into the ground week after week. Breath of Fresh Air Now!