In June, News 10’s Caroline Marcello spoke with a local realtor about the housing market in Lafayette parish during the pandemic.
In this week’s Moving Acadiana Forward she checks back in with local realtor Robbie Breaux.
“The end of month so far, month to date, year over year We have a 42% increase in the total number of closed sales,” said Breaux. “Which is awesome.”
Breaux says pending sales are up again for the fifth month in a row with a 48% increase. That’s homes coming off of the market where a buyer and seller have an agreement in principle.
But, inventory in the parish is down 3.5% — that’s new signs coming onto the market. But…
“We’ve got demand going way up in the amount of homes that are actually up for sale are less, there are 30% fewer homes to go buy right now,” said Breaux. “So it’s making it super interesting.”
Breaux says looking back six months ago, no one really knew what to expect. Then, interest rates dropped. Home became more affordable and they started to fly off the market.
“If you were looking to buy a house at this time last year, interest rates were roughly 4.5%,” he said. “So, if you were financing $300,000, that mortgage payment, principal and interest only, is $1,514. Today that same mortgage is $1,222 principal and interest.”
That’s $300 less a month that homeowners would now pay on a mortgage.
“I will tell folks that are kicking around selling and you’re comfortable where you are, if you’re gonna stay there for 10 years there’s no sense in participating in this craziness with some of the multiple offers that are going on,” said Breaux. “But there is an interesting opportunity with some price points you might have more of an option and you can afford more house for the same amount of money or less based on those interest rates.”