RE: Real Estate Podcast

Clint C. Galliano (00:00)
to the Bayou Board's August report, there are 160 fewer homes for sale in our market than there were a year ago. So where did they go? We're covering that today on the RE Real Estate Podcast. Let's talk about it.

Ben Harang (00:28)
Hello, everybody. Welcome to another episode of the RE Real Estate Podcast. My name is Ben Harang, and with me as usual is my sidekicking co host, Clint Galliano. How are you doing today, Clint?

Clint C. Galliano (00:43)
I'm doing wonderful, Ben. How you doing?

Ben Harang (00:46)
I'm doing terrific. on this beautiful afternoon, they say the fall is coming. We're

Clint C. Galliano (00:54)
You

Ben Harang (00:54)
not sh not sure when when it's coming, but they say it's coming.

Clint C. Galliano (00:57)
Are you talking about the weather or the dystopian future?

Ben Harang (01:01)
Yeah, both of those.

Clint C. Galliano (01:03)
Hehehehehe

Ben Harang (01:06)
w what are we talking about today, Clint?

Clint C. Galliano (01:08)
All right, today we're going to cover the August market update. We're working from the Bayou Board of Realtors local market update for August produced by Louisiana Realtors with data that's current as of about the 10th of September. A short version is there's fewer homes for sale. That's a big shocker and more homes sold this year. So and prices are creeping up. So where do you want to start?

Ben Harang (01:37)
Well, let's start with the number you teased at the top. The body board report shows seven hundred seventy homes for sale at the end of August, down from nine hundred thirty a year a year ago. That's a seventeen percent drop.

Clint C. Galliano (01:51)
That's crazy. And then the number I'd point to is the months of supply. So Bayou Board report has us as 5.8 months. And if you've kept up with the previous market updates, you know that's been trending down since the beginning of the year. But last August, we were at 7.9 for the Bayou Board. And just a reminder that the months of supply is

how long it would take to sell everything that's currently on the market if nobody else listed a house.

Ben Harang (02:26)
And that's the second month in a row that that number is below six, which is typically considered to be a balanced market. So part of the reason is fewer people are putting their homes on a market. The body board report shows one hundred and sixty six new listings in August compared to two hundred five last August.

Clint C. Galliano (02:46)
Damn, that's a 19 % drop.

All right, before anybody reads too much into one month, the year-to-date numbers are telling the same story. Through August, Bayou Board report shows 1,466 new listings, and that's down about 10 % compared to last year.

Ben Harang (03:07)
So you put those together and you have fewer homes coming on the market and what's already there is getting absorbed by the market, the shelf is getting thinner, and that changes the conversation between buyers and sellers.

If your homes are listed of your homes selling.

Clint C. Galliano (03:28)
Not at all. Year to date, the Buy Your Board report shows 1,101 closed sales through August, up almost 12 % from the 986 last year at that same period of the year. Pending sales are up 11 % for the year too. So it's more people are buying, the buyers are more engaged, just that we have less sellers willing or ready to sell.

Ben Harang (03:57)
Now August by itself was softer. The Bay Board report shows one hundred seventeen closings in August, down fifteen percent from last August, with fewer listings coming on. A lighter month is no big surprise.

Clint C. Galliano (04:13)
And our price value board report puts the year to date median at $215,000. That's up 2.5%. August alone came in at nearly $225,000, almost 6 % up from a year ago.

Ben Harang (04:30)
Now here's the part I found interesting. The year to date average price in the Bay Board report actually slipped a little to two hundred thirty thousand five hundred eighty dollars. So the middle of the market is moving up while the top end is not stretching.

Clint, what are the buyers actually paying compared to asking price?

Clint C. Galliano (04:53)
That's pretty close to asking. The report shows sellers receiving about 97 % of list price in August. So that accommodates the people that gave in on price a little, people that bought at list, and there's even some that are paying over lists to make sure they get the deal. Year to

Ben Harang (05:14)
Mm.

Clint C. Galliano (05:15)
date, it's 96.8%. So it's a touch better than last year, but that's still fairly close.

Ben Harang (05:22)
And on time the by board report has August at ninety four days on the market down from one hundred three days, but year to date is one hundred two days, exactly where it was last year.

Clint C. Galliano (05:37)
The number I keep an eye on is affordability. Bayou Board reports housing affordability index dropped to 124 in August. I think it was 129 last month. So a year ago in August, it was 132. Higher means affordable. So what that means is this buyer's losing a little ground. It's a little bit less affordable.

Ben Harang (06:02)
And for perspective, the rolling twelve month chart in the Bay Board report still shows the median sitting well below the statewide median line even after this year's climb.

Clint C. Galliano (06:16)
And that's poor for the course across the board.

Ben Harang (06:19)
Mm.

Clint C. Galliano (06:21)
We generally sit a little below the state average. Yeah.

Ben Harang (06:26)
We d we track the

line but it's a little bit it stays below

Clint C. Galliano (06:29)
Yeah.

Ben Harang (06:30)
it as it goes up and down.

Clint C. Galliano (06:32)
All right. Guess what time it is.

Ben Harang (06:35)
I'm not doing it. Not me. Nope.

Clint C. Galliano (06:40)
I wouldn't expect you to be selling so.

Ben Harang (06:44)
I'm not doing homework.

Clint C. Galliano (06:45)
All right.

All right. Homework this week. If you're thinking about selling, find out how many homes in your price range in your neighborhood are actually on the market right now. Because answer changes street by street. If you're buying, know your numbers before you fall in love with the house. Either way, call or text me or Ben and we'll put a personalized look for your area.

together so you can understand what's going on and what your options are.

Ben Harang (07:19)
All right, if if the numbers this month helped you, like, share, and subscribe wherever you get your podcasts, and send this episode to someone who keeps asking about the market.

Clint C. Galliano (07:32)
And we'll be back next month with September's numbers. And we're kind of talking about maybe in the future doing a weekly market update, but that may not start until next year. In the meantime, thanks for listening to the RE Real Estate Podcast and go to rerealestatepodcast.com where you can find link to our YouTube channel. You can ask us a question. You can subscribe.

pretty much wherever you get your podcasts from.

Ben Harang (08:04)
if you go to the YouTube channel, let us know your thoughts about those two guys with faces for radio in there. and see where that goes. That might be asking for trouble, huh?

Clint C. Galliano (08:14)
Like,

any interaction is a good interaction. like, share,

Ben Harang (08:21)
Ha ha ha.

Clint C. Galliano (08:23)
comment, and subscribe. Then we'll see you next

Ben Harang (08:26)
This is

Clint C. Galliano (08:27)
time.

Ben Harang (08:28)
R E Real Estate Podcast dot com. See you later, Clint. Have a good one.

Clint C. Galliano (08:33)
See you, Ben. Thanks.