August Stats - Prices Falling Slooooooooowly

The sharp rise in mortgage rates over the last year and a half has affected home prices in New Orleans, but not nearly as much as you'd expect. The months supply of homes has doubled since the start of 2022.

More inventory and fewer buyers actively in the market would make you think prices have moved just as drastically in the opposite direction, but that's not what's happened.

Prices have dropped, but that's not much of a move. The median price of a home in Orleans Parish has not increased in the last 14 months. That hasn't happened since 2006-2007. (These are 12-month numbers as opposed to monthly, which takes seasonality out of the equation.)

Still, the severity of the drop has been minimal - 4.3%. With mortgage rates expected to float in the upper sixes and lower sevens well into next year, I expect this pattern to continue.