William D. Cobb FHA Home Appraiser

http://www.ascensionrealestateappraisers.com/ - Prairieville Louisiana 70769 Real Estate News, Housing Trends, Home Prices, Appraiser Market Studies...

Manchac Commons Appraiser Housing Market Study

Solds from 01/01/2008 to 12/31/2008 revealed:
Average Sales Price: $232,247
Average Sold Price Per Sq. Ft.: $112.70
Median Sold Price: $239,900
Average # of Days On Market: 56
# of Sales: 16
Average Sq. Ft.: 2,073sf

Solds from 01/01/2009 to 07/31/2009 reveals:
Average Sales Price: $227,538
Average Sold Price Per Sq. Ft.: $110.70
Median Sold Price: $227,000
Average # of Days On Market: 238
# of Sales: 7
Average Sq. Ft.: 2,083sf

Therefore, based on the median sale price barometer (the barometer used by the NAR National Association of Realtors) within Subdivision, the market direction appears to be declining since 2008. Average Sales Price has declined -$4,709 or -2.03%. Median Sales Price has declined -$12,900 or -5.38%. Average Sold Price Per Sq. Ft. has declined -$2.00/sf or -1.77%.

A further S.M.A.R.T. Analysis of the Manchac Commons data since 8/1/2008 to 7/31/2009 reveals a -13.45% Decline

http://www.batonrougerealestateappraisers.net/ - Greater Baton Rouge Townhome and Condo Market Still Faces Challenges in 2009

I recently performed an appraisal in the gated townhome development, Bromley Townhomes in Baton Rouge 70810, which was further evidence to me that the Post Katrina Very High Pricing and overbuilding of Condos and Townhomes (not to mention too many condo conversions) across Greater Baton Rouge will take some time to absorb and correct. And, the correction is not pretty.

Bromley Towhomes is an upscale, gated townhome development within 1/2 mile of Perkins Rowe where in 2004 to 2006, new 2 bedroom 1,460sf units sold between $189,500 up to $204,900. Legal News records show that resales of the same units have been from $150,000 up to $175,000. In fact, the differences in resale prices were -23%, -12%, -17% and -11%. The unit appraised was valued at only 79% of original sales price. Marketing time periods for these resales was from 80 days up to 899 days on the market. And, there are 2 listings that have been on the market since mid 2008, one of these listings is finally pending after the price was reduced to $160,000. If it sells at 97% List-To-Sales-Price-Ratio, it will sell for $155,200, a difference of -21% off original price. Specifically for these 1,460sf 2 bedroom Bromley Townhomes, a "SMART Appraiser Software" FNMA 1004 MC (market conditions) Study, a much more narrow "Sub-Market" study, showed declining market values of -5.44% since 7/2008, an 8.4 month supply of competing listings and between 29 to 45 competing listings.

A recent search in MLS Areas 52, 53, 61, 62 shows a total of 620 current listings (active, contingent or pending) of Townhomes and Condos - certainly a large number that will take some time to absorb. With some short sales of attached units taking place in this market, it's an opportunity for investors to buy low hoping to seller higher in the years to come.

CAUTION........When Purchasing A Condo Or Townhome!

Notes Of Caution Before Purchasing In Any Condo Or Townhome Development

1.) Make Sure The Managing Agency Is Well Intact (that the development is managed well with a good paper trail).

2.) That ALL Association Dues Are Fully Paid (Review The "Current" Budget with a real estate professional that understands and can interpret). Make sure there are ample reserves built up to handle the development into the future. This is brought up to help explain that appraisers across the U.S. are being educated and directed to request documentation on Condo AND Townhome budgets and that IF the budgets are not satisfactory or not funded adequately, to discount the value(s) in those developments. And, my experience has been that these are the developments with some short sale activity - absentee owners not paying their dues. This is a major problem in the overbuilt markets like the State of Florida.

3.) Just because the listing price is lower than the 2006 offering price doesn't necessarily make it a good deal in 2009. The chart below shows a -10.25% decline in sales prices/market value and represents 955 attached 2 bedroom sales from 1/1/2006 to July 2009, from $100,000 to $200,000 in MLS Areas 52, 53, 61 and 62. Also note that it took 3.5 years to absorb these 955 units or 273 units per year. With 620 units on the market, a portion priced higher than $200,000, it could take 2.5 to 3 years to absorb these excess units. AND, this doesn't include the large number of units taken off the market that are now rentals because they couldn't be sold. Again, check out the management and current budget before taking the plunge.

Author's Bio:

Bill Cobb, CREA, is Greater Baton Rouge's favorite and most reputable home appraiser frequently called upon by banks, homeowners, and savvy real estate investors to assess property values. A home appraiser with 18 years experience, Bill Cobb brings a wealth of knowledge to the table as a home appraiser.

Bill's company, Accurate Valuations Home Appraisal Group, serves Greater Baton Rouge (East Baton Rouge Parish, West Baton Rouge Parish, Western Livingston Parish and Northern Ascension Parish).

Contact Bill Cobb and Accurate Valuations Home Appraisal Group for your next home appraisal:

Office: 225-293-1500, Cell: 225-953-0638

Fax: 1-866-663-6065

fastvalue2@cox.net

http://www.batonrougerealestateappraisal.com

http://www.ascensionrealestateappraisers.com/ - Gonzales Louisiana 70737 Villa Gardens Housing Report Midyear 2009 by Ascension Parish FHA Appraisers

Solds In Villa Gardens Subdivision from 07/01/07 to 07/01/08 revealed:
Average Sales Price: $161,250
Average Sold Price Per Sq. Ft.: $115.13
Median Sold Price: $161,000
Low Sales Price: $160,000
High Sales Price: $163,000
Average # of Days On Market: 36
# of Sales: 4

Solds In Villa Gardens Subdivision from 07/01/2008 to 07/09/2009 reveals:
Average Sales Price: $170,975
Average Listing Price: $174,200
Average Sold Price Per Sq. Ft.: $114.40
Median Sold Price: $181,000
Low Sales Price: $155,000
High Sales Price: $182,000
Average # of Days On Market: 79
# of Sales: 4
Listing Price To Sales Price Ratio Has Been: 98%

Therefore, based on the median sale price barometer (the barometer used by the NAR National Association of Realtors) within Subdivision, the market direction appears to be increasing.

The Average Sales Price has increased by +$9,725

Median Sales Price has increased by +$20,000.

Average Sold Price Per Sq. Ft. has decreased by -$0.73/sf.

See 1004MC "Sub-market" Charting Below. Overall Stable Market To Slightly Increasing Market (+2.81% Since 7/2008). 6 Months Supply of Housing On Market. 17 Competing Listings Does Indicate a Slight Over-Supply. 98% List-To-Sales Price Ratio.

Market data used with the permission of Greater Baton Rouge Board of Realtors.

Author's Bio:

Bill Cobb, CREA, is Greater Baton Rouge's favorite and most reputable home appraiser frequently called upon by banks, homeowners, and savvy real estate investors to assess property values. A home appraiser with 17 years experience, Bill Cobb brings a wealth of knowledge to the table as a home appraiser.

Bill's company, Accurate Valuations Home Appraisal Group, serves Greater Baton Rouge (East Baton Rouge Parish, West Baton Rouge Parish, Western Livingston Parish and Northern Ascension Parish).

Contact Bill Cobb and Accurate Valuations Home Appraisal Group for your next home appraisal:

Office: 225-293-1500, Cell: 225-953-0638

Fax: 1-866-663-6065

fastvalue2@cox.net

http://www.ascensionrealestateappraisers.com/

http://www.ascensionrealestateappraisers.com/ - Ascension Parish Real Estate News - $7.7 Million Lots Sale Indicates Trend Towards Smaller, More Affordable Homes To Be Built and Sold

The Baton Rouge Business Report is reporting a $7.7 Million Lots Sale In Keystone Of Galvez Subdivision, purchased by the very active Vicknair Builders. At a time when some local builders who built on the higher end of price range and still can't sell their inventory and now with Allstar Homes offering a free $15,000 with a home purchase, Vicknair Builders, who builds in the more affordable $130K to $180K market, is in a building boom in several local developments.

Here's the link and snippet:

http://www.businessreport.com/archives/daily-report/2009/may/27/1000/

"Developer Kevin Nguyen sold 199 lots in his Keystone of Galvez subdivision to A and T Management. A and T, headed by Allen Tomlison, paid $7.7 million for the lots off La. 933 in a deal that happened Tuesday. Tomlinson bought 145 lots at $40,000 each and 54 lots at $35,000 per lot. They will construct houses on them for sale. Tomlinson and Vicknair builders have been buying lots in Galvez in blocks of 10 for the past year before they went ahead and bought out the rest of the developed properties in the subdivision. Nguyen kept the remaining land that has been approved for an additional 500 lots. He will install utilities and develop the lots as market conditions improve.-Tom Cook"

http://www.batonrougerealestateappraisers.net/ -

Woodridge Subdivision 70809 May 2009 Update: Baton Rouge Subdivision Videos

Current Video: http://www.viddler.com/explore/fhaappraiser/videos/49/

Solds In Woodridge Subdivision from 01/01/2007 to 12/31/2007 revealed:
Average Sales Price: $346,578
Average Sold Price Per Sq. Ft.: $138.84
Median Sold Price: $349,000
Low Sales Price: $271,000
High Sales Price: $409,000
Average # of Days On Market: 112
# of Sales: 36

Solds In Woodridge Subdivision from 01/01/2008 to 01/12/2009 reveals:
Average Sales Price: $336,160
Average Sold Price Per Sq. Ft.: $137.03
Median Sold Price: $349,500
Low Sales Price: $263,000
High Sales Price: $407,299
Average # of Days On Market: 96
# of Sales: 25

Solds In Woodridge Subdivision from 01/01/2009 to 05/15/2009 reveals:
Average Sales Price: $330,093
Average Sold Price Per Sq. Ft.: $138.96
Median Sold Price: $315,840
Low Sales Price: $260,000
High Sales Price: $439,000
Average # of Days On Market: 80
# of Sales: 9

Therefore, based on the median sale price barometer (the barometer used by the NAR National Association of Realtors) within Woodridge Subdivision, the market direction appears to be declining from a high in 2007 of $349,000 down to $315,840 currently. The Average Sales Price has decreased by -$16,485 or -4.76%. Median Sales Price has declined by -$33,160 or -9.5%. However, the Average Sold Price Per Sq. Ft. has remained stable from $138.84/sf to $138.96/sf - a strange phenomenon where the median sales price declines -9.5% but the average sold price per sq. ft. remains stable.