Algiers, LA 70131: March 2008 Real Estate Market Update

The first quarter of 2008 whizzed by, with ups and downs in the Algiers real estate market.  This month’s reports provide not just the trends for the last 6 months, but also for the last 5 quarters.

Algiers – 70131 Home Sale Reports

The number of single family homes sold in Algiers was up slightly from February’s 11 closed sales to 15 closed in March.  While there were 46 pending sales at the beginning of the month, less than half of them actually made it to a successful close.

As of 4/2/2008:

• 217 active listings, priced from $32,900 to $1,100,000
• 47 homes are pending sale or under contract, priced from $65,000 to $449,000

The number of homes sold each quarter in Algiers has dropped significantly in the last 6 months.  First quarter 2008 sales were only about 50% of the sales closed in 3rd quarter 2007.

Average sale prices in Algiers continue to bounce up and down each month, with March ending at an average sale price of $156,893.

The average list price as of 4/2/2008 was $207,197, showing a substantial gap between the average price of homes currently on the market and the average price range that buyers are purchasing in.

It continues to be critical to review the pricing and absorption rates in YOUR neighborhood when determining the best list price for your home.  Some neighborhoods are selling in a relatively short time frame, while others are suffering from an oversupply of listings and a shortage of qualified buyers.

The average sale price for a home in Algiers in March, 2008 was at the lowest point in the last 15 months, continuing the decline from 3rd quarter 2007.

So, what does all of this mean?  Well, if sales continue at the same rate as in March, with 217 active listings it will take over a year to sell all of the homes already on the market, if no more homes are listed.   Algiers continues to be a buyer’s market and as sellers reduce their prices to get their homes sold, it puts pressure on others in the same area to lower their prices as well.

What’s the good news?  Well, I can’t speak for other REALTORS®, but in the last month I have put 6 homes under contract, with 5 of them located in Algiers.  The buyers are peeking out and testing the waters, although the high cost of insurance continues to be a factor in the price range that they can qualify for.  When home owner’s insurance adds another $300+ per month to a mortgage payment, many first time buyers get knocked right out of the real estate market.

Are you interested in how your neighborhood is performing?  Give me a call or drop me an email and I’ll be happy to prepare a personalized report for you.  Keeping up with market changes is a full time job and I’m dedicated to giving you the facts you need to make the best buying or selling decision.