Lisa Heindel, New Orleans Real Estate Broker

There was some interesting information in CityBusiness last week about how fishermen, shrimpers and others in the industry are being financially impacted by the oil spill in the Gulf of Mexico. Everyone is trying to determine how those who have effectively been put out of business or had their business adversely impacted should be paid.

However, according to the article, “sloppy and sometimes fraudulent histories of tax reporting among members of the fishing industry could deny many what they consider fair compensation”. Cash income that was never claimed, poor bookkeeping that doesn’t provide the necessary information…these things may come back to haunt some of the people making claims against BP.

These same practices can have an impact on individuals who are applying for a mortgage to purchase their New Orleans area home.

We are a city full of people who have the opportunity to make a good deal of money “on the side”. Just the fine dining restaurants alone support a large number of people (bartenders, wait staff, etc) and some of them are doing quite well financially even though they are skirting the law about reporting tips as income. The problem comes when they decide it’s time to make a large purchase such as a house.

No documentation = No mortgage

Gone are the days of stated income loans, where an applicant just told the lender how much they make and the loan was approved. In today’s world, documentation is the rule. W2s, bank statements and tax returns are required to prove income and it doesn’t matter what you say you make, it’s what your reported income is that determines your ability to qualify for a mortgage.

Here’s my 2 cents of advice: report all of your income. Yes, it means that you will likely pay more in taxes. But, besides being the law, it can make the difference between owning a home of your own or paying rent for years on end.

Originally published at West Bank Living

Current real estate activity in Algiers Point: (single family homes only)

23 homes are currently for sale in Algiers Point

• High list price $389,000
• Low list price $95,000
• Average list price $276,857
• Median list price $275,000

4 homes are under contract or pending sale, priced from $113,400 to $249,900

Based on the number of April sales (2), there is a 11.5 month supply of homes for sale in Algiers Point

Algiers Point | Number of Single Family Home Sales | April 2010

While the number of home sales in Algiers Point dropped in April, the good news is that year to date there have been 13 sales, compared to only 4 at the same time last year. This is the best start to the year since 2006.

Get this week’s free Algiers home value report

Days on market has gone up from last year and I expect it to continue to do so since the average listing has now been on the market for 195 days. The average pending sale was on the market for 109 days. The disparity between the time houses are selling and the time active listings have been on the market is usually an indicator that some properties are over priced for the location, condition or amenities.

Algiers Point | Average Single Family Home Sale Prices | April 2010

Average sale prices dropped yet again in April, but year to date are still higher than both 2008 and 2009. This appears to be due to the fact that buyers are choosing homes in better condition, instead of investors buying houses that are in need of renovation.

More about Algiers Point home sales in April 2010:

• Both of the April sellers provided closing cost assistance to the buyers
• No home warranties were provided by sellers
• Neither sale was a bank owned or foreclosure property

All data provided by GSREIN and is deemed reliable, but not guaranteed

Algiers homes for sale
New Orleans West Bank homes for sale

Home buying tips
Home selling tips

Originally published at West Bank Living

Current real estate activity in Algiers LA 70131 (excluding English Turn):

There are 208 active listings in Algiers

• High list price $895,000
• Low list price $25,000
• Average list price $174,413
• Median list price $152,450

45 homes are under contract or pending sale, priced from $22,500 to $289,000

Based on the number of April sales (14), there is a 14.8 month supply of homes for sale in Algiers

Algiers LA 70131 | Number of Single Family Homes Sold | April 2010

The 70131 portion of Algiers (excluding English Turn) is holding steady, with the exact same number of home sales (57) as at this time last year. Just like most other areas of the West Bank of New Orleans, there are a large number of pending sales – more than likely due to the first time buyers who had to choose a home by April 30th to qualify for the tax credit. This has the potential to create a spike in sales in May and June, but what happens after that remains to be seen.

In April, homes sold were on the market from 5 days to 353 days, with an average marketing time of 103 days. This number varies from neighborhood to neighborhood, so get this week’s home value report to find out the skinny on homes for sale and sold right around yours.

Algiers LA 70131 | Average Single Family Home Sale Prices | April 2010

Average sale prices are up just a smidge, ending April at $156,164. The average home under contract/pending sale is priced at $152,718, so I expect to see the prices drop slightly over the next couple of months.

More about Algiers home sales in April:

• 1 sale was a short sale
• 36% of the homes sold were bank owned or foreclosure properties
• 36% of sellers paid for a home warranty for the buyers
• 43% of sellers paid some type of closing cost assistance for the purchaser

All data is provided by GSREIN and is deemed reliable, but not guaranteed

Algiers homes for sale
New Orleans West Bank homes for sale

Home buying tips
Home selling tips

This article originally published at West Bank Living

Current real estate activity in Algiers LA 70114 (including Algiers Point)

105 single family homes are for sale

• High list price $389,000
• Low list price $10,000
• Average list price $135,394
• Median list price $110,000

20 homes are under contract or pending sale, priced from $14,900 to $299,000

Based on April sales (6), there is a 17.5 month supply of homes for sale in Algiers 70114

Algiers LA 70114 | Number of Single Family Homes Sold | April 2010

After a spike in March, sales fell off again in April in Algiers. Year to date, there have been 30 single family homes sold in the area, compared to 23 at the same time last year. While a drop in the number of sales is not welcomed, the good news for sellers is that there are more homes being sold this year in the community than in 2009.

Days on market is holding steady just above 100 days for the average home sold. Buried in the numbers is some interesting information for sellers. The average active listing has been on the market for 161 days. The average under contract listing has been on the market for 108 days. The average listing sold in April was on the market for 69 days. This tells me that either price or condition needs to be addressed for those properties that have been on the market for an extended period of time.

Algiers LA 70114 | Average Single Family Home Prices | April 2010

After starting out with a bang in January, single family home prices in the 70114 zip code have been hovering closer to the $110,000 mark for the last couple of months. Because of the strong start, the year to date average sale price is still higher than in 2009.

More about April homes sales in Algiers 70114:

• 33% of the sales were bank owned/foreclosure properties
• 33% of sellers provided some type of closing cost assistance to the buyers
• In a break from the rest of the West Bank real estate market, cash and conventional financing are used in 90% of purchases in the area. This is a reflection of the condition of the majority of the homes sold in the area.

All data provided by GSREIN and is deemed reliable, but not guaranteed

Home buying tips
Home selling tips

Homes for sale in Algiers LA 70114
New Orleans West Bank homes for sale

This article originally published at West Bank Living

Current real estate activity in Westwego, Avondale and Bridge City:

149 homes are listed for sale

• High list price $325,000
• Low list price $32,900
• Average list price $119,887
• Median list price $109,900

37 homes are under contract or pending sale, priced from $19,900 to $223,900

Based on the number of April sales (11), there is a 13.5 month supply of homes for sale in the 70094 zip code

Westwego, Avondale and Bridge City | Number of Homes Sold | April 2010

As of the end of April, there have been 36 single family homes sold in the 70094 zip code (Westwego, Avondale, Bridge City and Waggaman). This is a decrease of 26% from the 49 that were sold by this point in 2009. With 37 homes pending sale, I expect this to balance out over the next couple of months as the buyers taking advantage of the tax credit close by June 30th. After that point, all bets are off until we see what impact the end of the credit has on the local market.

Days on market has dropped slightly to 79 days, but with the average active listing already on the market for 124 days, we can expect this number to go up as the year progresses.

Westwego, Avondale and Bridge City | Average Home Sale Prices | April 2010

Average prices took a dip in April, mostly due to the high percentage of foreclosures that were sold. Year to date, the average single family home in Westwego sold for $108,483, still higher than the last couple of years.

More about April sales in the 70094 zip code:

• 55% of the homes sold were bank owned/foreclosure properties
• 18% of sellers paid for a home warranty for the buyers
• 18% of sellers provided some type of closing cost assistance to the purchaser
• FHA remains the most popular financing choice, with cash running a pretty close second due to the number of properties in fair or poor condition that are more appealing to investors

All data is provided by GSREIN and is deemed reliable, but not guaranteed

Home buying tips

Home selling tips

Westwego homes for sale

New Orleans West Bank homes for sale

This post originally published at West Bank Living