Home valuation tools like these simply use algorithms and generic data to “guess” your home’s value.
Automated systems do a poor job of valuing qualities and characteristics that are intangible. Fresh paint, remodeling efforts, quality building materials, etc. are most likely not considered. On the flip side, structural issues, deferred maintenance, and other worrisome issues won’t be reflected.
The real estate market is constantly changing. If you are thinking about listing your property for sale, purchasing a property, or going through a divorce/estate settlement, it is important to have the most up-to-date information. Here are a few graphs and charts showing how the Saint Martin Parish real estate market has been performing (Look at the difference between 2020 and 2021!!!!).
Each appraisal is unique, but the overall general process tends to follow three general steps. Ultimately, the final opinion of value is what many people want to know, but the process to reach that final value is detailed and thorough. Here’s a brief overview of those three steps:
Site Visit The site visit occurs when the appraiser visits the property. It is also commonly referred to as an appraisal inspection. Once we receive a request for an appraisal, our office will reach out to the homeowner or real estate agent to schedule a day and time for the appointment. The appraiser will perform a variety of tasks during the appointment. Some of the tasks will include measuring the exterior, making visual observations of the exterior and interior, and taking photographs of all the interior rooms. Appointments typically last 30-45 minutes but can be longer for larger and/or more complex properties.
Offsite Research and Report Writing The offsite research is typically the most time intensive portion of the appraisal process. The amount and level of research varies by property, but the appraiser spends several hours at the computer working on each property. The subject property is closely examined, the market is analyzed, and recent sales are studied. The data is collected and summarized in an appraisal report format.
Arriving at a Value Conclusion The appraiser arrives at the final value conclusion after all research and analysis has been completed. The opinion of value is often referred to as the appraised value. This value can be expressed as a single value or a range of values. It is documented within the final appraisal report.
To understand more about the appraisal process or how we may be able to assist you with your valuation needs, please reach out to us at 337-714-8378 or AcadianaAppraisals@gmail.com. We’re looking forward to hearing from you!
Sale prices and sale volumes are continuing to increase.
Days on the market are showing significant declines.
2021 has started strong.
As most of you probably already know, the Lafayette Parish residential real estate market continues to remain strong. Homes are moving quick, and sales prices are continuing to creep up. 2020 proved to be a strong year for this market despite the global pandemic, but the data trends for 2021 are setting the stage for what may look like yet another stellar year.
Data gathered from the Realtors Association of Acadiana’s database is summarized in the charts and graphs below. For purposes of this analysis, detached single-family housing data in Lafayette Parish through March 31, 2021 is presented. The commentary is focused on the last 12 months while highlighting the most recent quarter and month.
The metrics for the most recent 12 months are continuing to show favorable changes. Sale prices are steadily increasing. The number of closed sales increased by 640, or almost 20%, as compared to April 2019 through March 2020. The data strongly supports that houses are moving quickly with the average days on the market declining from around 3 ½ months down to about 2 ½ months. There was also a slight uptick in the average square footage.
The Monthly Price Metrics chart provides a good visual of the sales price statistics over time. It is clear the last 12 months have been on an upward trajectory. The increases can be attributed to a couple of factors. First, the limited inventory within Lafayette Parish is creating a low supply and high demand dynamic that drives up prices. Currently, there is approximately a month and a half of inventory within the market as compared to three to six months during 2016 through early 2020. Second, increases in construction costs have impacted values. Over the last nine months, costs have increased dramatically and have driven up the cost to build a new house. The differential between existing versus new home prices has widened, and as a result, the demand within the resale market has increased.
Looking more closely at 2021, the number of sales in the first quarter are 10% higher than January through March 2020. Even going back to 2017, the graphic highlights how well the start of 2021 was in comparison to recent years.
The Lafayette market has been very strong over the past 12 months. Even with a global pandemic, the housing market is strong. I have attached a few charts and graphs for my most recent Lafayette market update. They will show how the market has been performing over the past year and beyond. Keep in mind that the data only includes detached single-family housing. If you have any questions, please do not hesitate to contact me.
I hope that this Lafayette Market Update has provided you some good information. If you have any questions, please feel free to reach out to me. If you would like to share these charts and graphs, I ask that you disclose where they came from. You can check out my business facebook page here! If you are in need of an appraisal, you can click here for a free quote. Thanks for reading and I hope that 2021 is stronger than 2020.
An updated look at the Lafayette Parish Market indicates the market is still stable; however, slight changes are being observed.
Was January a busy month for you? Based on the number of properties sold, it most likely was for Realtors and Lenders in the Lafayette Parish Market. Sales in Lafayette Parish for the month of January are up BIG TIME from last year. In fact, there were more sales in January 2020 than there have been in the month of January for the last 10 years.
Last month, I took an in-depth look at the overall market
trends for Lafayette Parish. The overall
market was considered stable; however, there were some favorable
statistics. This month continues the
The number of sales in January 2020 increased by 73% in comparison to January 2019.
The sales volume was 91% higher this January as compared to January 2019.
Year over year trends continues to see favorable changes.
If you’re interested in some of the details and data, take
a look below.
Data for January:
The chart below shows how the market was performing for January 2019 vs. January 2020. In this chart, the median sales price, average sales price, and average price per square foot all have favorable statistics. The median and average sold price is actually indicating that sales prices increased by a significant amount this January as compared to last January. Average prices can be affected by outliers such as a couple of $1 million+ properties, so the median sales price is often a better indicator.
Date Sales Volume (Jan 1 – Feb 6):
In the chart below, you can see 2020 has a much higher sales volume than in previous years. In fact, sales volume is up 91% from last year. For both 2019 and 2018, there was a decrease in sales volume from the previous year. Interest rates could have something to do with this. For November 2018, the 30-year interest rate was (4.94%) the highest that they had been since February 2011 (5.05%). Since then, there has been a steady decline in interest rates. In January 2020, interest rates were mostly between 3.50% and 3.75%. This is making homes more affordable for consumers.
The chart below shows the number of sales in the area.
Again, in January 2020, there were more sales than in the previous 10 years for
the month of January. There was a 73%
increase in the number of sales for 2020 as compared to 2019. Again, this is a favorable indicator for the
12 Months Sales Volume (Ending on 1/31/2020):
In last month’s market update, the trending 12 months statistics were all favorable. The trend continues this month. In fact, the median sales price, average sales price, and the average price per square foot are all up from last month’s analysis. Although the analysis is indicating values are stable, the statistics continue to move in a favorable direction. This is good for sellers who are trying to sell their homes because it is taking less time to sell their homes and the sales prices are increasing.
So far it has been a strong start in the real estate market
for 2020. The trend is expected to
continue in the near future. At the end
of January 2020, there were 307 pending properties in Lafayette Parish. This is a 16.7% increase from January 2019
that had 263 pending properties. With
interest rates at a three year low, it is reasonable to expect this trend to
continue for the first quarter of 2020.
If you have any appraisal related questions, please do not hesitate to contact me. 337-254-2215 or Lduple4@gmail.com
I hope everyone enjoys the Mardi Gras festivities over the next few weeks. Until next month, laissez les bons temps rouler!!!
Data Source: MLS, detached single-family homes sold in