Baton Rouge metro area real estate prices post-flood

I had my house re appraised for refi last month or so and it went up very slightly. Almost negligible.

A family member in Nola is in real estate and said after Katrina hit, everyone was worried that flooded houses would be doomed, however it turned out that people were drawn to newly renovated homes since they typically had warranties on just about everything. Appliances, A/C unit, and all the finishes were up to date. Just move in and enjoy. I think if it was a desireable place to live before the flood and will soon be back to normal, then people likely won't turn down a practically new home for the right price.

The flood has caused it to be a sellers market. Appraisals are tied to insurance and lending. The only things that would change appraisal should either be damage or remodel. But to contradict that I have seen some homes where agent fluffed up asking price due to demand.

What has drastically changed is time on market. If you have a half way decent home that didnt flood, you could sell at in 7 days or less. I have a few friends that have sold since flood and all got more than they thought they would with very little nehotiating or counters. In fact the agents told them not to spend money on painting, changing flooring or anything in prep for new owner. Buyers are so desperate to move in a home.

Now that being said its a sellers market, there are no good houses to move into. People I know are either having to move out of area or build new.

I can see homes in LP and Ascension that did not flood increasing in value slightly but Baton Rouge? Give me a break.

Hell if anything, home values probably just decreased again in Baton Rouge simply due to the election of Sharon Weston Broome.

I don't think anyone knows what is going on right now. Even appraisers I follow...I've seen homes in VERY desirable, un-touched by flood areas in the parish sitting for months even though they are getting LOTS of attention from prospective buyers.

Obviously the flood had a significant impact on the market: tight lending environment, updated appraisals needed, etc. so working out those kinks could be a huge part of it.

6-8 months is a ballpark number I've seen as to how long it takes an area effected by a natural disaster to come back. We are on month 3.5...I still believe that neighborhoods that didn't flood will see a spike in sales and value before next fall. I also see a lot of potential for older neighborhoods that flooded and are mostly rebuilt (because most owners had insurance) and are now or will be nicely updated (see parts of Sherwood Forest)...