Archive for March, 2011
Warehouse District Condos in New Orleans, One Bedroom condos are making a comeback!
March 29th, 2011 categories: Buyers Agent, Second Homes, Warehouse District
The recent real estate trends of the Warehouse District Condo Market over the last year is that the two bedroom units were the condos that were the most sought after. Now we are beginning to see the comeback for the one bedroom units. You still cannot just sell anything but those priced right that have been updated are constantly getting shown and going under contact.
We are seeing a combination of new arrivals, people now renting, investors and second home people looking and finding very few things to look at. Lenders are still requiring 10% for owners and 20% for second homes. The one exception is the Cotton Mills Condos which have been FHA approved meaning a 3.5% downpayment.
The Cotton Mill Condos has always has been a favorite of the under 200k price range. There have been 4-5 recent sales this year and only a very few one bedrooms worth looking and and a couple of two bedrooms. I have one favorite in the one bedroom category and it is a bit pricey for now.
Magazine Place at 760 Magazine Street has two one bedroom condos worth looking at. They are both priced for over 200k but both have reserved parking which is worth 25k in the New Orleans Warehouse District. Smaller units but both have been updated with v ery moderate condo fees. Below are roof top views from Magazine Place looking at the New Orleans Skyline.
Julia Place Condos at 333 Julia Street has several units without parking and have not been tootally updated. Expect to pay $210-$220 for the better condos with parking and good views. There are currently none for sale. A recent law suit against the condo association has put a damper on financed units. The recent sales have been cash. Look for the law suit to be settled soon. Buy a unit here with parking unless its a super deal.
402 Julia, The Lofts has a couple of small units that need updating but the prices are in the 140k-160k range. They need new kitchens and baths. The have great location and you can rent a spot in the Emeril’s lot. These could be good buys but you will have to update. Neither of the views are great. The Lofts on Julia are above the art galleries on the first floor.
I can cover the rest of the associations on a later update. This gives you an idea of the market and knowing it is hard to now find that unit. Get started early so you will be able to know what is good and what is not a buy. I can get you updated with condos that meet you criteria so you will have some knowledge. I can share my knowledge as well which is as good as any agent that works the New Orleans Real Estate Market.
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Inspections on your New Orleans Condos, once you have an accepted contract…
March 27th, 2011 categories: Buyers Agent
Once you have a purchase agreement signed and agreed upon you will have a period to do an inspection on the condo. This inspection normally takes place in the 10-15 days following acceptance. During this period the buyer can hire a professional inspector to check out all the systems and mechanics of a condo. The sooner it gets done the better as some followup work may be needed.
The buyer finds an inspector or two he wishes. I have several that will do the basic inspection for $175 if its in a complex. Each will issue you a report.
I suggest two types of inspections depending upon the type of condo you are buying. If you a condo in a converted home with a small number of units then you need to appraoch it more like a home. Any negatives with the house or complex could be found on the inspection. If there is something wrong found in the futute in a 4 plex then the expense for you can easily be 25% of the bill.
In larger complexes of 20 or more unit there is less of a chance of major defects and the building has generally undergone many more inspections. The cost is spread over many more people so the cost is like 2% of the expense.
In either case I recommend getting a separate a/c and heat guy to really check the system in depth. This would be a big expense if the unit were to fail. The cost is a little over a $100 and you have a written report if you need to claim against a home warranty. There is so much less that can go wrong in a condo very few deals ever fall apart on inspections. I can vnever remember one happening to me.
Once the inspection is complete you will feel much better about the purchase if all goes well. We are then set to negotiate the defects with the seller. Most of the time I have found the condo sellers to be agreeable to doing the repairs or giving an allowance.
Allowances are great if we can be sure of the exact cost to repair. If we are not sure then it is better to have the seller do the repairs and have the surprises of paying more. The seller will give us receipts for the repairs. We will check the repairs before the act of sale depending upon the extend of the repairs to when we do it. Many times we do it at the final walk through and other times we may make an extra trip for larger items. We want the more technical items to be fixed by a professional and not the brother in law.
On the final walk through we not only check out the repair items but any damage that may have happened since the inspection. Checking out the major systems is a great idea. I had one not that long ago that the a/c did not work at the final walk through. The sellers had been gone about 20 days and the compressor went out. It was a $1600 last minute repair several hours before closing. Not what you want to happen but it does happen for the buyer and seller at the last minute. Best just to double check the condo one last time to be sure……..
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Jefferson Parish Bond Money is Availiable for Homes and Condos, Maybe you qualify?
March 16th, 2011 categories: Julie's Mortgage Tips
Jefferson Parish Bond money is available for those who can qualify for the Money. If you fit the criteria it is money in your pocket. The one major change that I see is that the loan will have to be an FHA, VA, or Rural Development Loan. For homes it is much easier than condos as each home is check to be FHA ready. This is not so with condos as they have to be on the FHA approved list.
For those that can meet the criteria its a great deal. Find something for $150,000 and ask the seller to pay the 1% origination fee and you get $6000 as a credit on your purchase. The program is designed for the first time buyer who needs the extra money to make the sale work. Not all lenders sign up for the program. Add an extra week for processing.
The rules and numbers change fro Bond issue to bond issue so it good to review the qualifications to see that you fit the criteria. The State of Louisiana will have a Bond Issue as well that can be used in the City of New Orleans with a few different rules.
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New Orleans Warehouse District neighborhoods are close in footsteps but very greatly in a matter of Blocks…
March 14th, 2011 categories: Warehouse District
The map below is a very instructive guide as how close the neighborhoods are. This is how it plays out in the geography of the New Orleans Warehouse District. The areas are adjacent to each other but are almost worlds apart in the lifestyle. It will also give you an idea of how close the areas are and all are within walking distance of each other. New Orleans is a very small area when you talk about the world on New Orleans Condos.
Most of the downtown condos are in the area marked Warehouse Museum and Arts District. There are a few in the Central Business District but not very many. Cross Poydras and you are in a different neighborhood. Most perfer to be in the Arts District until more the Central Business District. Few or no condos are currently in the Medical District but this area is growing and changing drastically with the additional of the new VA hosiptal and expansion of the LSU Medical School. The Warehouse District remains a favorite for medical students, residents and young doctors as a place to be.
Once an area become popular you will begin to see developement in adjacent areas. This is close to happening and most likely would have happened if the Banking Crisis would not be still with us. I feel a shortage of condos and there is a demand as very new projects have been built since Katrina in 2005.
A lot of demand has come from people seeking second homes who buy larger condos so they can invite friends and family to visit. That is why the uptick in the 2/2 in the 275–350k range. Just not a lot to choose from in this market. Rents are great so if part of your plan is to rent then the Warehouse District gives you the best chance. It has been that way for several years and do not expect that is change in the near term.
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French Quarter Condo Pricing is tough !
March 11th, 2011 categories: French Quarter
Prices in the New Orleans French Quarter Condo Market do seem to be all over the ballpark. They tend to be all over the place for a number of valid reasons. You will find some prices that are obviously too high and wonder what the sellers were thinking. You also see condos that are really priced well. Its just a hard area to price and that is just the nature of the French Quarter Market.
One of the main reasons is that the condo complexes tend to be small and its hard to find comparable sales when you price your condo as a seller. Since many of the complexes are small the developers used all the available space. Many times this does not make for great floor plans.
The location within the French Quarter is a large factor. The views and amenties vary greatly from one condo to the next. Generally the prices are higher between the Mississippi River na d Bourbon Street.
The condition of the condos will vary greatly. This was the first area that saw a lot of second homes in the New Orleans Condo market. Many have been there for 2o plus years. Some will have updates and some will not. Newly updated places will always sell for more and be more desirable. The conditions of the complex will also vary from one condo association to another. Many have not kept the common areas updated where others have a very well maintained and beautiful courtyards.
Then you throw in things like parking. Balconies and courtyards make big, big differences in pricing. Natural light and high ceilings add to the value along with views. Floor plans and style will vary drastically between many units. The amount variables makes it much harder to get to the right number.
Many people who bought may have just overpaid when they bought and did not get the deal they thought. The sellers may be trying to get a price and not what it is worth. Most of the units in the French Quarter are second homes and the sellers may not be truly motivated to sell. On the other hand many will be aggressive on their pricing and just want to sell at a fair price.
One of the things I do is make sure you are competitive with other condos for sale. You want to be in the top 3 condos within the price range you are competiting in. You want to have the best chance to sell. You want to outshine with your competition…………
As a buyer you will find the correct unit just by being there at the right time…..
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Finding your New Orleans Condo ? Never as many choices as one would think?
March 3rd, 2011 categories: Buyers Agent, Condo Knowledge
Clients always think there are going to be a multitude of choices in the New Orleans Condo market. Once I know your criteria such as price range , area, style, bedrooms and bathrooms there will be a much shorter list. Once you consider the locations you will quickly get into single digits. Normally 5-6 units. After looking at prices you narrow it further as some will be misplaced and are not competitive on their pricing.
Today’s buyer has shopped the internet so knows his areas and prices much better than the buyers of the past. The buyers of today are good at narrowing down the choices when they know what they want and what to expect. If this is the case 3-4 properties are going to meet their needs.
Some will not be able to be financed by a conventional mortgage and those may be elimanated. Some of these are good buys for than reasons alone and a cash y can get a deal if it meets his or her criteria. This is an issue as the lending rules have been changing with every coming quarter. Remember the lending decisions come from Washington and they have no insite into any local market. Nor do they ever seem to care.
This is currently the market we live in. We are entering the selling season so I expect to see more of the premium listings come onto the market as we move into Spring. Many of these will be priced to sell and some will not.
The sellers that are not pricing to sell are just are wasting time and money by not pricing correctly. In the end they often get less. The values have nothing to do with what you need or what you owe on a mortgage. Buyers have choices and they will pick the best choice in their range that meets their criteria. Your condo may never get seen.
Having an agent that knows the market can really streamline the search for the condo and for the best financing available. Having an agent like this saves you time and money. You may miss a lot of the “dogs” and “Money Pits” but that will be your call. When buying always think about the resale as some things you cannot change while some you can. In the end it gets down to pricing, condition and location.
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New Orleans Warehouse District townhome. Its a rare find in New Orleans !!
March 1st, 2011 categories: Condo Listings, Warehouse District
The 1081 Tchoupitoulas town home is a unique find in the Warehouse District in that it is a fee simple town home with a parking garage owned by the group of 5 town homes. The $200 condo fee is for taxes, insurance and upkeep of the town home community. The owner pays less than $400o for homeowners insurance.
This 1081 Tchoupitoulas condo is the smallest of the 5 units with over 1900 sq. ft of living area. It also has a storage area plus an outdoor patio. Its one of the nicest listings that I have had in the last 5 years.
The town home is immaculate and move in ready. The unit has bamboo floors throughout the entire unit along with tile in the bathrooms. Features include:
Gourmet Kitchen with new gas cooking range, new ice maker, new frig, wine cooler, microwave, custom cabinets, granite counters with plenty of storage. The kitchen opens into the living-dining room combination.
The high ceiling and large windows give you a much larger feel than the square footage says. The unit has been freshly painted by professionals.
Bamboo Floors are in all bedrooms and living areas.
Both bedrooms can be considered to be a masters bedroom. Large closets and executive style baths are very hard to beat in the Warehouse District. California closets in the master bedroom.
The upstairs master opens onto an outdoor private patio for that real outdoor feel. The washer and dryer is in the master. The master bath has a shower and a tub along with a double vanity.
The garage parking and storage areaare right outside the front door. The complex is secure and the individual unit has a security system. The downstairs has its own a/c.
New light fixtures and fans are throughout the town home. This is a great townhome for entertaining.
You are among the best locations that the Warehouse District has to offer. You can walk to all the nearby places of interest. The slide show should give you a great idea as to why this is so unique and attractive for $499, 810.
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