According to Van Eaton & Romero, 2018 was the best overall year for home sales in Acadiana.
In Lafayette Parish, more than 3,000 homes were sold in 2018 with an average sales price of nearly $225,000.
Joy and Donald April recently sold and bought a home. Joy said, “We had a lot of competition and we’re still amazed. We sometimes say we can’t believe it happened.”
The couple never imagined their home would sell in one day. They said they were afraid it would take months or even years.
“No sign, it hadn’t been put up yet,” said Joy. “We left while she was showing the house and when we came back, she said it was sold. I mean no time at all, it was off the market.”
Van Eaton & Romero President Troy Hebert said in Lafayette Parish, last year, homes stayed on the market an average of 86 days. Also, new construction sales went down while resale of existing homes went up.
“When oil and gas was doing incredible and interest rates were on the decline, I believe a lot of people bought up and bought up a little bit further than they would have based on their purchase power increasing,” said Hebert.
The majority of homes sold in 2018 were under $300,000. Experts believe interests rates are driving sales.
Hebert said, “You have to think that now interest rates are rising and purchase power is somewhat decreasing. Now, people might be saying I could sell, but could I duplicate what I have now or do better and maybe not because of rising interest rates.”
Hebert predicts 2019 sales will also be interest rate driven because the federal government is committed to two rate hikes.
“If you’re concerned about your job or you’re concerned about where you stand financially, you’ll likely stay put. Rising interests rates will likely keep them where they are until they feel a little more confident in their ability to move up,” said Hebert.