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01-Feb-2018 21:52

For at least three years now, stories of bidding wars and cash offers over listing prices abound in popular neighborhoods such as Uptown and the Marigny.

But that hasn't trickled into eastern New Orleans, where prices still hover at the low end in the city, per square foot.

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Alison Lungstrum and her fiance Brandon Macneill moved into their Bywater home after it was fully renovated.

In Jefferson Parish, the average house has sold for 4,510 this year or 6 per square foot -- nearly unchanged from 5 per square foot before Katrina. Tammany Parish, the average house has sold for 3,770 this year or 3 per square foot -- up 10 percent from before the storm and up 3 percent from last year.

Other metro parishes also fared better than Jefferson Parish. Bernard of 4,562 or per square foot this year was a 3 percent climb over the decade and a 5 percent increase from last year. Charles cost 5,475 or 5 per square foot this year, up 13 percent since the storm and 2 percent from last year.

But that represents an 8 percent increase from last year, signaling a recovery.

Ragas said he identifies five factors that could put a hold on continued job and home price growth in New Orleans: the recent cutback on film tax credits in Louisiana slowing productions in the city; the market reaching a peak in new restaurants and bars; a continuing slump in oil prices; and U. digital and software firms keeping profits offshore.

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The report examines the single-family house market in the eight-parish metro area, both in the decade since the storm and the first half of 2015.

According to the report, the New Orleans market is on pace for a total of about 2,800 sales this year including houses in both good and damaged conditions.

In 2005, the market was on track to record more than 3,300 sales, before the destruction of Katrina.

But in Jefferson Parish, a traditional south shore star of the metro real estate market, the average price of a house increased by a meager 1 percent over the post-Katrina decade, according to the report. Tammany Parish was the runner-up in the post-Katrina escalation, increasing 10 percent over the decade.

Wade Ragas of Real Property Associates, who authored the report, said the numbers reflect a national trend of homebuyers wanting to live in urban core neighborhoods.

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