New Orleans, Lousiana, a popular visitor destination, seems to be a place where time is suspended in its romantic, historic, and multicultural past, yet local Realtors report a housing boom that shows the city is shaking itself out of its easy reverie.

"The New Orleans real estate market is one of the most active, fastest growing markets anywhere in the country," says Realtor Doug Matthews. "We have been in a real estate frenzy for several years now, and the last few have been incredible. There are many areas and properties that have experienced amazing growth in a relatively short period of time.

"Some say that New Orleans is always on a different beat than the rest of the country," he continues, "and others say that we are just now catching up with the rest of America. I think that there is some truth to both of these statements. New Orleans does march to a different drummer, and we have been way behind. There is no doubt that New Orleans is a great value in relationship to most metropolitan areas. We have some of the most unique and beautiful real estate in the entire world. Preservation has been at the forefront of our great city for decades now and is gaining in strength every day."

Says Matthews, "This market that we find ourselves in is one of the quickest, most challenging markets that the city has ever seen. Sellers are shocked at some of the price opinions on their properties and buyers often have only hours to place offers. Just recently, a client and I were faced with putting an offer in on an investment property. I knew that this property was underpriced for its condition and the current market. We offered $17,000 over full list price, all cash, closing in 15 days and a $10,000 deposit. There were 14 other offers on the property, four of which were also all cash. We did not get the property! This is happening all over the city and makes for a very difficult environment for the buyers. With this in mind, sellers are in a great market."

Explains Realtor Dana Kosztolanyi, "Interest rates are low, job security is strong, and new construction is abundant. Existing and older homes in the area are selling fast, due to the influx of new buyers to the area. The Riverparish area has several new home sites in a wide range of prices."

"Uptown New Orleans (University, Audubon Park, Garden District) consists of some of the best examples of New Orleans architecture," suggests Realtor Chris Mitchell, "both singles and multifamily ranging in price from $75,000 to over a million. Properties are selling fast when priced at market value, many with multiple offers. Particularly strong are well-priced Victorian singles and doubles to be renovated or mint condition (move-in) singles. We have a shortage of properties under 150K."

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Published: September 20, 2002

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