The St. Charles Parish housing market remains steady, but the cost of homeowners insurance and higher interest rates continue to shape decisions for both buyers and sellers, according to Regina Allemand, realtor at Compass Real Estate.
There are currently 167 active residential properties on the market in the parish, ranging in price from $79,000 to $1.2 million. The active listings have been on the market for an average of 99 days, according to Allemand.
Another 60 homes are currently pending sale.
Over the past six months, 229 homes have closed in the parish, with sale prices ranging from $32,000 to $2.2 million. Those sales averaged about $158 per square foot.
Allemand described the local housing market as steady but said the cost of homeowners insurance remains a major challenge for buyers.
“Finding that ceiling of where this cost will land sometimes brings a home payment just out of reach,” she said. “Working closely with lenders to find that comfortable payment number is key.”
She said buyers will often ask sellers for assistance with closing costs, in part to offset the higher cost of insurance.
“Sellers need to know this is a real possibility that it will come up in negotiations,” she said.
The condition of a home can also become a factor in whether a sale is completed because lenders and insurers may require certain repairs or features.
Depending on the type of loan, Allemand said a home may need to meet specific standards, such as having circuit breakers instead of fuses, ground-fault circuit interrupter outlets near water sources and no peeling paint on the interior or exterior.
“Being sure the home’s condition is insurable is important for the loan itself,” she said.
While insurance is a major factor in the local market, Allemand said higher interest rates have not deterred the buyers she is seeing.
“The fixed rate has a buyer feeling confident in what their note will be for the duration of the loan,” she said.
Allemand said sellers must adjust to current market conditions, particularly when setting an asking price.
“The price of the home must be competitive,” Allemand said. “Pricing too high, in hopes that someone will make an offer, only makes the competition look good.”
Despite those challenges, Allemand said the desire to become a homeowner remains.
“As realtors in St. Charles Parish, we experience this desire every day and work to help sellers and buyers achieve their goals,” she said.