Welcome to the 2023 New Orleans Spring real estate market! It’s not what our buyers and sellers have come to know from the last two years of massive bidding wars. However, it’s not a dead market. (Despite what your dad tells you!)
While we have barely dipped our toes into the spring real estate market, things are already happening and giving us an idea of where it’s headed!
Nah! Well…. maybe?
We have already seen a few bidding wars in this market; however, it’s not like the last couple of years. Instead of competing against twenty people, you may only be competing against one or two others. You likely won’t have to go 20k over the list price. But, when competing, you still want to put your best foot forward.
[IMPORTANT READING: How to win a bidding war]
Taking the first offer
Quite the opposite of bidding wars, sellers are grabbing the first GREAT offer they receive. We have seen many sellers receive a fantastic offer right when they list, and they feel compelled to take it ASAP instead of waiting for a few more showings.
Honestly, we don’t blame them! Because interest rates and insurance are so much higher these days – you might be crazy to wait for more offers.
They aren’t low! Right now, they range between 6-7% depending on if you buy down the rate or what’s happening that week. (yes, interest rates fluctuate day to day)
You can’t lock down an interest rate until you have an accepted offer.
Sellers should be prepared that more and more buyers are asking for closing costs assistance to help buy down their interest rates and help cover the high upfront insurance costs.
The other thing sellers should expect in the spring real estate market is that buyers will no longer accept houses in any old condition. You need to either disclose ALL the deficiencies or be prepared to make some concessions after inspections.
Just because a house has been on the market the last few months doesn’t mean it’ll be there next week for you. We are seeing homes listed for six months or longer getting snatched up.
Our final thoughts: It’s not a buyer’s or a seller’s market right now. Higher interest rates and insurance make it harder for buyers to pull the trigger on a home. But there is still a lack of inventory! With fewer homes to choose from, buyers still don’t get to be as picky as they’d like to be.
Ready to meet with agents who care about your investment? Start by contacting us!
When your house is too small