Baton Rouge area home sales dropped in July, while inventory—and sales price—continued to climb, compared to the same month last year.
For the first six months of 2019, home sales in greater Baton Rouge were on par with the first half of 2018. But in July, year-over sales fell 3% to 1,091 homes, according to the latest report from the Greater Baton Rouge Association of Realtors.
New listings, meanwhile, rose 3.2% as 1,455 new homes hit the market last month. Months supply of inventory also increased to five months, inching closer to a buyers’ market. Days on market was up 3.2% to 64 days.
Median sales price continues to rise as well, despite stagnant sales, climbing 4% in July to $210,000. Due to the steadily rising residential real estate costs, many home buyers continue to “struggle financially,” GBRAR says, even during a period of historic economic expansion and low unemployment.
“Low mortgage interest rates have helped offset low housing affordability, but high home prices are outpacing median household income growth,” the report reads. “In a move to stoke continued economic prosperity, the Federal Reserve reduced the benchmark interest rate by a quarter point to about 2.25% marking the first reduction in more than a decade.”
Breaking the market down by parish, East Baton Rouge saw home sales fall 7.6% in July to 548 sold. Median sales price was up, however, by 2.1%. Inventory rose 4.6% and months supply hit 5.1 months. Days on market was up 9.8% to 67 days.
Ascension and Livingston parish real estate performed far better, actually seeing increases in home sales. Ascension sales were up 3.5%, while Livingston was up 3.7%.
Inventory decreased 11.6% in Ascension Parish, falling to 3.8 months supply. Livingston’s inventory increased 5.4% but months supply remained flat.