2020 was a challenging year, to say the least. With so much uncertainty, you might be wondering what the real estate market will look like in 2021.
One way to predict what lies ahead is to look back on 2020 and analyze the numbers, trends, and lessons learned. With so much that went wrong, 2020 was a good year for New Orleans real estate when considering the impact of COVID not only on tourism, but oil and gas as well. Covid has affected everything from buyer demand to housing supply and mortgage rates, which together have helped drive up home prices across all price points. Historically low-interest rates and increasing demand for housing in a city with warm weather and outdoor recreation options have created a blazing real estate market.
This might be the best opportunity to sell your New Orleans home. As you’ll see below, inventory is extremely limited, prices are at all-time highs, and even still — it’s hard to argue that people shouldn’t be looking to buy. The economy is starting to roar back nationally as more and more Americans get vaccinated, and with festival after festival lined up for the fall, the New Orleans economy is about to get a steroid shot. That very likely means even higher demand for housing, and consequently, inflated real estate prices.
Without further ado, let’s take a look at the numbers:
3.1 — The number of months of housing inventory currently available in New Orleans, the lowest amount of inventory in at least a decade. That’s down 1.2 months from January of 2020.
4.6 — Showings per listing in January of 2021, up an average of nearly one showing since January 2020.
24 — The median number of days a property was listed on the market before going under contract in January, the lowest number in at least a decade. The number was 33 in January of 2020.
98.8% — The percentage of list price that an MLS listing ultimately sold for in January, the highest percentage in at least a decade.
$129 — The median price per square foot of sold MLS listings in January, up $7 from January of 2020 and $24 since January of 2016.
4,188 — The number of homes for sale on MLS in January, by far the lowest in the past decade, and substantially lower than January of 2020 when there were 5,811.
17,238 — The number of transactions closed on MLS in January, up from 16,121 in January of 2020 and
21,422 — The number of new MLS listings in January 2021, down roughly 10% (2,178) from January 2020.
$4,973,927,105 — The total volume in dollars of transactions on the New Orleans MLS in January 2021. This is the highest number ever to be recorded.
Whether you’re selling or buying, you can take advantage of these trends by contacting one of our experienced realtors today!