As we begin 2022, I’d like to offer a look back at the data on residential real estate sales in New Orleans for 2021. Anyone who follows the news knows that the housing market in the U.S. as a whole, particularly the single-family market, has been on a tear since a couple of months after our lives were changed by Covid in 2020. Demand has been very robust and inventory has been unusually low, which – combined with historically low interest rates – has resulted in year-over-year price gains in the double digits in many markets.
These National Trends Have Been Evident in the New Orleans Single-Family Market.
As shown in the chart below, the median sale price for single-family homes in New Orleans rose 12% – from $305,000 to $341,250 – on a rolling twelve months basis from December of 2020 to December of 2021.
And as shown below, months of supply of single-family homes in New Orleans decreased 45% in this period – from an already low four months to 2.2 months of supply.
For another sign of how strong the market was in 2021, take a look at average days on market for single-family homes in New Orleans, which decreased 23% – from 59 in December of 2020 to 45 in December of 2021.
Another sign of strength is seen in the average percentage of the last list price sellers received in New Orleans for their single-family properties in 2021, which increased 1.4% to close the year at 98.2%.
But what about the New Orleans condo market?
The condo market in New Orleans has not been as strong as the single-family market. The median sale price for a condo in New Orleans rose 3.7% from December of 2020 to December of 2021 – from $297,000 to $308,000.
And the inventory of condos in New Orleans is higher than seen in the single-family market, though it has begun to trend downward. In December of 2020, there were 9.2 months of condo inventory and we ended 2021 with 6.1 months of inventory, a 33% decrease on a rolling twelve months basis.
What about individual neighborhoods? Which neighborhoods in the New Orleans saw the largest single-family price increases in 2021?
New Orleans East saw a 14.4% increase in the median price of a single-family home from December 2020 to December 2021 – from $159,950 to $183,000.
Uptown New Orleans also saw significant price gains in 2021. The median price of a single-family home Uptown increased 13.9% – from $566,100 in December of 2020 to $645,000 in December of 2021.
Broadmoor, adjacent to Uptown, saw a 12.6% increase in the median price of a single-family home – from $366,131 in December of 2020 to $412,263 in December of 2021.
I hope you’ve found this information helpful. If you’d like more market data, or if you’d like to discuss buying or selling, contact me at 504-407-9012 or at apeet@latterblum.com. I look forward to talking with you.
