After two years of record-setting activity, there are signs the housing market is cooling off, with 8.5% fewer homes sold in the Capital Region in May than the year before, according to the latest market report from the Greater Baton Rouge Association of Realtors.
High home prices and a surge in mortgage interest rates are slowing buyer activity, with home sales nationwide declining for the third consecutive month under the weight of soaring homeownership costs.
The Greater Baton Rouge area posted a decrease in closed sales, pending sales and new listings. While sales slowed, market conditions were still favorable for sellers, who benefitted from a decrease in inventory, resulting in a higher median sales price and reduced days on market.
In East Baton Rouge Parish:
• New listings decreased 5.2% to 694;
• Pending sales decreased 19.5% to 552;
• Closed sales decreased 8.5% to 653;
• Median sales price increased 9.4% to $257,000;
• Percent of list price received increased 0.4% to 99.1%;
• Days on market until sale decreased 49.1% to 27;
• Inventory of homes for sale decreased 17.1% to 782;
• Months’ supply of inventory decreased 6.7% to 1.4.