http://www.batonrougemarketmetrics.com/ – Baton Rouge Market Metrics: Homewood Subdivision 2010 Report!
Homewood Subdivision is very conveniently located within the 70810 zip code and has home sizes ranging from 1,317sf up to 4,075sf, but most are in the 1,350sf to 1,500sf range. Since January 2007, home sales have ranged from $112,000 up to $178,500 with home sizes from 1,344sf up to 2,366sf. The average home is approximately 45 years old as the first filing was approved by East Baton Rouge Parish Zoning in 1959 with construction of some homes between 1961 to 1970. NOTE: There were no 2009 MLS sales in Homewood to use for comparison purposes in this blog post.
Difficult Appraisal Assignment. I’m currently appraising a home between 2,100sf and 2,200sf because of an addition, which is a very difficult assignment because most homes are 1350sf to 1500sf and the five (5) that sold in Homewood in 2010 were 1,344sf, 1,356sf, 1,364sf, 1,493sf and 1,626sf. These smaller homes mainly sold between $95/sf to $102/sf (1 REO sold or $75/sf). BUT, it would not be correct to compare homes that are 750 sq. ft. smaller than the home I’m appraising to 1,400sf homes. Nor would it be correct for an Agent to take that $95/sf to $102/sf and multiply it by subject’s 2,150sf living area to arrive at a listing price of say, $210,700. This means I have to mainly go outside of Homewood to find comparables, again, making this a very difficult assignment because there aren’t many subdivisions that compare in predominant prices and smaller sizes.
Part of the reason this larger home complicates matters in reporting is that Fannie Mae requires the 1004 MC or Market Conditions form as of March 2009 to be filled out, which reflects the “Sub-Market” comparison data. Sub-Market data would be data on both solds and listings comparable to a 2150sf home in this market, within reason and comparable to Homewood itself. As one can see above in the last 3 months, comparable home sales have plummeted, competing active listings have increased from 5 to now 12 and there’s now a “36” month supply of competing homes on the market. 1 Year ago, there was only a 4.3 month supply. Can you see how this market is struggling now? However, BASED ONLY ON “1” SALE IN THE CURRENT 3 MONTH PERIOD, that $160,000 sale reflected an increasing median sales price trend. I wouldn’t call it a new trend based on only 1 sale, but FNMA does and requires me to check the “increasing” property values box. Can you begin to see the difficulty in being a home appraiser within this market and assignment?
Solds In Homewood S/D from 1/2010 to 12/14/2010 revealed:
Average Sales Price: $134,500
Average Sold Price Per Sq. Ft.: $94/sf
Median Sold Price: $134,000
Number of Sales: 5
Average Number of Days On Market: 69
Low To High: $112,000 to $155,000
Number of Sold REO/Foreclosures Noted In MLS: 1
Current # Listings: 4, 1 Is A Foreclosure
Current Listings Prices: $124,900 To $270,000
Per GBRMLS, there have been two (2) REO or foreclosures in Homewood.
NOTE: Based on information from the Greater Baton Rouge Association of REALTORS®MLS for the period of January 1, 2007 to December 15, 2010. This information was extracted on 12/15/2010.