I just listed a property in the Village Cote' subdivision in Baton Rouge. In preparation for my meeting with my client, I analyzed some data to verify current market conditions in the zip code area containing the home. One of the things I examined was the monthly unit sales for resale homes in this area.
To smooth out the cyclic seasonal nature of unit sales, I calculated absorption rates in various price ranges.
Although the 2007 absorption rate is at a five year low, the inventory levels are correspondingly low giving us a 4.4 month supply.
As the following chart show, there was only minor growth in terms of the selling price per sq.ft. of living area between 2006 and 2007. Nevertheless, it is at an all time high for the area and has grown by 49% since 2002.
© 2007 by Don Stern, All Rights Reserved
http://www.donandalishastern.com/
The raw data were obtained from the Greater Baton Rouge MLS and reflect sales reported through September 2007 as of 10/5/07. The inventory levels were as of 10/5/07.
Comments(1)