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Why Do Smaller Baton Rouge Homes Sell For More Per Square Foot Than Larger Homes? | Baton Rouge Real Estate Housing News

Why Do Smaller Baton Rouge Homes Sell For More Per Square Foot Than Larger Homes? | Baton Rouge Real Estate Housing News | Baton Rouge Real Estate News | Scoop.it
I received the following question from a local Real Estate Broker tonight: THE QUESTION:  Why Do Smaller Baton Rouge Homes Sell For More Per Square Foot
Baton Rouge Real Estate News's insight:
Why do smaller homes sometimes cost more per square foot than larger homes?  Smaller homes start out at a relative disadvantage to larger ones because they often cost more per square foot. That’s because every house needs certain high-ticket items, like a heating, air conditioning and ventilation system, at least one bathroom and a kitchen. As a house gets bigger, the incremental cost for these pricey items lessens.
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Baton Rouge Real Estate News
The Scoop On Baton Rouge Housing by Bill Cobb With Accurate Valuations Group Home Appraisals www.accuratevg.com and Editor of Baton Rouge Housing Reports www.batonrougehousingreports.com . Sign Up For Email Updates Here: http://bit.ly/GRQqsm  .  DROP BILL A NOTE HERE: http://bit.ly/GSvAXd
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Questions About Baton Rouge Housing You Want To Ask? Thinking Of Adding An Addition or Pool and Have Question?

Questions About Baton Rouge Housing You Want To Ask?  Thinking Of Adding An Addition or Pool and Have Question? | Baton Rouge Real Estate News | Scoop.it

Questions About Baton Rouge Housing You Want To Ask? Thinking Of Adding An Addition or Pool and Have Question?

Baton Rouge Real Estate News's insight:

My Mission Is To Help Locals Make Informed Housing Decisions! 


Ask your Baton Rouge Housing Questions At The Link Below by 


DROPPING BILL COBB APPRAISER A NOTE HERE: http://on.trulia.com/1qitWH0 

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Which of the New Baton Rouge Developments Are Doing Best?

Which of the New Baton Rouge Developments Are Doing Best? | Baton Rouge Real Estate News | Scoop.it
Which of the New Developments Are Doing Best?
Baton Rouge Real Estate News's insight:

Which of the New Baton Rouge Developments Are Doing Best?


Pat Wattam Team Blog
 

http://www.batonrougerealestate.com/m/Posts/Details/Which-of-the-New-Developments-Are-Doing-Best 

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2015 Louisiana Real Estate and Housing Market Predictions

2015 Louisiana Real Estate and Housing Market Predictions | Baton Rouge Real Estate News | Scoop.it
Case in point, the 2015 Housing Market in Louisiana is very healthy, scoring an 8.5 out of 10, according to the Market Health Index. This gauges the current health of the Louisiana real estate market relative to the other markets across the nation. This index uses up to 10 metrics that include capturing past and projected home values, frequency of foreclosures, foreclosure re-sales, mortgage delinquency, negative equity, and the rate of home sales.
Baton Rouge Real Estate News's insight:

2015 Louisiana Real Estate and Housing Market Predictions

More Good News for Louisiana!  

http://www.housingpredictor.com/2015-louisiana-real-estate/  

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Gap between Appraiser, Homeowner perceptions of home value doubles in July...evident to Baton Rouge Appraisers

Gap between Appraiser, Homeowner perceptions of home value doubles in July...evident to Baton Rouge Appraisers | Baton Rouge Real Estate News | Scoop.it
Gap between appraiser, homeowner perceptions doubles in July
Baton Rouge Real Estate News's insight:

Gap between Appraiser, Homeowner perceptions of home value doubles in July...evident to Baton Rouge Appraisers for "some" appraisals.  See below. 

Why is a new Central listing in a starter homes subdivision overpriced by almost $20,000?  At least 1 other Agent know it's grossly overpriced and asked my opinion for their buyer. 

One purchase appraisal this week appraised over $20,000 below purchase agreement because of gross over pricing and sellers wanting "their price".  Home is cosmetically dated, needs repairs, only has 1 bathroom and only has window units for both heat and air. 

And now 2,100sf to 2,200sf new to newer homes have $350,000 prices?....when they were in high $290's to low $300's. 

This is Baton Rouge Louisiana, not Calfornia!  Sellers are hearing of these national increasing home prices and local short supply and testing the market with "sometimes" insane high prices....I said "sometimes".  
 

"Appraiser opinions of home values were 2.33% lower than homeowner estimates in July, according to the Quicken Loans national Home Price Perception Index. The gap between homeowner estimates and appraiser opinions of value in July was nearly double the gap between these values in May."

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The Most Important Part of Renovating Your Home

The Most Important Part of Renovating Your Home | Baton Rouge Real Estate News | Scoop.it
We wanted to share with you this awesome video HGTV made on how to save money when renovating your home!
Baton Rouge Real Estate News's insight:

The Most Important Part of Renovating Your Home


Renovating your home can be an exciting process, but it's important that you don't get ahead of yourself. You can't just go willy-nilly into a major project and expect it to go perfectly. Planning properly for these types of projects can assure a smooth project, and one that may even cost less!


Read more:

http://www.djree.tv/2015/07/the-most-important-part-of-renovating.html 

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University Club Plantation Baton Rouge 2015 Home Sales - YouTube

http://www.batonrougehousingreports.com - University Club Plantation Baton Rouge January to July 25 2015 Home Sales Update by Bill Cobb Greater Baton Rouge's...
Baton Rouge Real Estate News's insight:

University Club Plantation Baton Rouge January to July 25 2015 Home Sales Update by Bill Cobb Greater Baton Rouge's Home Appraiser


Have Questions about Baton Rouge Housing?
Drop Bill Cobb Appraiser A Note Here:
http://www.batonrougehousingreports.com/drop-bill-a-note/


On YouTube: https://www.youtube.com/user/BatonRgeHousingRepts


On Twitter: https://twitter.com/BRHousingReport

On Google Plus: https://plus.google.com/+Batonrougehousingreports/posts


On Facebook: https://www.facebook.com/brrebuzz


GREATER BATON ROUGE REAL ESTATE DATA NOTE:
Based on information from Greater Baton Rouge Association of REALTORS®\MLS for period 01/01/2015 to 07/25/2015, extracted on 07/25/2015.

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June 2015 Greater Baton Rouge Home Sales Rebound, Market Commentary

June 2015 Greater Baton Rouge Home Sales Rebound, Market Commentary | Baton Rouge Real Estate News | Scoop.it

June 2015 Greater Baton Rouge Home Sales Rebound, Market Commentary

Baton Rouge Real Estate News's insight:

June 2015 Greater Baton Rouge Home Sales Rebound, Market Commentary

Recap? June 2015 sales rebounded from slowing months of April and May. So far, rising mortgage rates haven't hampered or slowed sales. There's still a shortage of homes in certain "HOT" zip code for buyers resulting in slower sales . 

  

Enlarge and Download Here: 
http://www.slideshare.net/BatonRougeHousingReports/greater-baton-rouge-home-sales-snapshot-june-2015 ;

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Santa Maria Baton Rouge Home Sales Charts from July 2014 to June 2015

Santa Maria Baton Rouge Home Sales Charts from July 2014 to June 2015 | Baton Rouge Real Estate News | Scoop.it
Baton Rouge Real Estate News's insight:
Santa Maria Baton Rouge Home Sales Charts from July 2014 to June 2015

http://www.slideshare.net/BatonRougeHousingReports/santa-maria-baton-rouge-home-sales-july-2014-to-june-2015

GREATER BATON ROUGE REAL ESTATE DATA NOTE:
Based on information from Greater Baton Rouge Association of REALTORS®\MLS for period 07/01/2014 to 06/30/2015, extracted on 07/06/2015.

 

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Baton Rouge Real Estate: Days On Market Up 62% June 2015 | Baton Rouge Real Estate Housing News

Baton Rouge Real Estate: Days On Market Up 62% June 2015 | Baton Rouge Real Estate Housing News | Baton Rouge Real Estate News | Scoop.it
Baton Rouge Real Estate: Days On Market Up 62% June 2015
Baton Rouge Real Estate News's insight:

Wow!…Days On Market Up 62% in June 2015…NOT Good News.  Reasons Why? 
 

This represents home sales within the entire GBRMLS (Greater Baton Rouge MLS)


Days on market in May 2015 was 63 days versus 102 days in June 2015, a 62% increase. 


Read more http://www.batonrougehousingreports.com/2015/07/baton-rouge-real-estate-days-on-market-up-62-june-2015/

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Delays in the Home Closing Process - YouTube

Collier Swecker video blogs about how buyers and sellers in a real estate transaction need to understand that closing delays often happen, whether they are a few days or just a few hours. Most home closings happen on time or even early, but with so many different people & companies involved delays do happen. We find that most delays are related to the lender / borrower working on clearing up lender’s underwriters conditions. Very rarely are delays intentional by any party to a transaction, as everyone involved has an incentive to get to closing as soon as possible. We find that many real estate agents are not explaining to their buyers or seller that delays are possible and ensuring that buyers and sellers have contingency plans in place should there be a delay.
Baton Rouge Real Estate News's insight:

Delays in the Home Closing Process 

Collier Swecker video blogs about how buyers and sellers in a real estate transaction need to understand that closing delays often happen, whether they are a few days or just a few hours. Most home closings happen on time or even early, but with so many different people & companies involved delays do happen. We find that most delays are related to the lender / borrower working on clearing up lender’s underwriters conditions. Very rarely are delays intentional by any party to a transaction, as everyone involved has an incentive to get to closing as soon as possible. We find that many real estate agents are not explaining to their buyers or seller that delays are possible and ensuring that buyers and sellers have contingency plans in place should there be a delay. 

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East Baton Rouge Parish Home Sales 2012 to 2015 YTD

East Baton Rouge Parish Home Sales 2012 to 2015 YTD | Baton Rouge Real Estate News | Scoop.it
Baton Rouge Real Estate News's insight:

East Baton Rouge Parish Home Sales 2012 to 2015 YTD

http://www.slideshare.net/BatonRougeHousingReports/east-baton-rouge-parish-home-sales-2012-to-2015-ytd  

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Wedgewood Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70…

Wedgewood Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70816 Baton Rouge Real Estate, Baton Rouge Housing Market, Published by Bill Cobb, Greater …
Baton Rouge Real Estate News's insight:

Wedgewood Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70816

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Pending Home Sales Hit Nine-Year High - YouTube

Published on Jun 3, 2015
The National Association of Realtors Pending Home Sales Index continued its upward trend in April.

The pending home sales index (PHSI) includes existing homes with signed contracts that haven’t completed the closing process. Home buyers and sellers generally complete the closing process within one to two months after a purchase contract is signed. However, sometimes a pending sale fails to make it to closing. For example, a home buyer can renege if financing falls through or an inspection turns up something unexpected.

Generally, the PHSI is a pretty solid predictor of existing home sales one or two months into the future. But April’s existing home sales numbers failed to live up to the expectation created by February and March’s pending home sales numbers. So is there a reason why pending home sales and existing home sales diverged? Watch this Real Estate Minute to find out.
Baton Rouge Real Estate News's insight:
Pending Home Sales Hit Nine-Year High

"Published on Jun 3, 2015

The National Association of Realtors Pending Home Sales Index continued its upward trend in April.

The pending home sales index (PHSI) includes existing homes with signed contracts that haven’t completed the closing process. Home buyers and sellers generally complete the closing process within one to two months after a purchase contract is signed. However, sometimes a pending sale fails to make it to closing. For example, a home buyer can renege if financing falls through or an inspection turns up something unexpected. 

Generally, the PHSI is a pretty solid predictor of existing home sales one or two months into the future. But April’s existing home sales numbers failed to live up to the expectation created by February and March’s pending home sales numbers. So is there a reason why pending home sales and existing home sales diverged? Watch this Real Estate Minute to find out. "

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Shenandoah Estates Baton Rouge Home Prices Appear to be increasing in 2015

Shenandoah Estates Baton Rouge Home Prices June 2012 to May 2015 in Scatter Plot Formation
Baton Rouge Real Estate News's insight:

Shenandoah Estates Baton Rouge Home Prices Appear to be increasing in 2015, see scatter plot of sold prices. 

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Carriagewood Estates Subdivision Baton Rouge Home Sales 2012 to 2015 …

Carriagewood Estates Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70817 Baton Rouge Real Estate, Baton Rouge Housing Market, Published by Bill Cob…
Baton Rouge Real Estate News's insight:

Carriagewood Estates Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70817

Bill Cobb Appraiser Commentary:

It appears homes and home sizes selling have become smaller over time, ie., in 2013, the average size home was 3,259sf living area and in 2014-2015 it's been 2,779sf to 2,733sf. This is a trend I'm seeing all over Greater Baton Rouge - smaller size high quality homes with lower prices sell better and more frequently. What I'm seeing in Carriagewood Estates is maintaining a $140's/sf to perhaps $150's/sf sold price where it's far easier to sell new homes in the $375,000 to $445,000 range than larger homes in the $500,000 to $600,000, at least for MLS Area 43 where $500K to $600K homes don't sell as often or as well as say in Area 53. 

 http://www.slideshare.net/BatonRougeHousingReports/carriagewood-estates-subdivision-baton-rouge-home-sales-2012-to-2015-zip-code-70817

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The Shadows at White Oak Subdivision Baton Rouge Home Sales 2012 to 2…

The Shadows at White Oak Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70816
Baton Rouge Real Estate News's insight:

The Shadows at White Oak Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70816

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I wish every Baton Rouge Homeowner would read this: Owners tend to overvalue homes by about 8 percent, over improve their homes

I wish every Baton Rouge Homeowner would read this: Owners tend to overvalue homes by about 8 percent, over improve their homes | Baton Rouge Real Estate News | Scoop.it
A new statistical study, published in the Journal of Housing Economics, found that homeowners on average “overestimate the value of their properties by about 8 percent.”
Baton Rouge Real Estate News's insight:

I wish every Baton Rouge Homeowner would read this: Owners tend to overvalue homes by about 8 percent, over improve their homes - by noted columnist, Ken Harney

NOTE: As I always indicate, we live in America and as a homeowner, you can install any upgrade you desire to your home, whether that upgrade makes economic or logical sense or not (whether the upgrade is something a typical homeowner would add in your subdivision).  The problem is when you expect the market or buyers to pay dollar-for-dollar for the money you spent adding these upgrades at the time of sale.  I used the word "spent" versus "investment" because over improvements are not  really "investments".  IF you're going to live in your home FOREVER and not sell, then fix it up the way you that satisfies you.  However, life happens, divorce happens, job layoffs happen, job injuries/disability  can happen leaving you in a position to where you must sell.  And, when you must sell, you'll find the tens of thousands you over improved the market (buyers) will not necessarily pay extra for...


"Don Boucher, an appraiser in the Washington, D.C., area, says he sees it all the time: Owners sink tens of thousands of dollars into a super-premium gourmet kitchen in a neighborhood where nobody else has installed such luxury."

"Because you’ve paid the bills, you know precisely how much you sunk into the kitchen remodeling, bathroom upgrades, landscaping and the new roof. Tom Horn, an appraiser in Birmingham, Ala., says consumers “may think they can get back what they put into” the improvements they’ve made over the years. “But it doesn’t work that way.”

Homeowners "install highly personal but costly items — features they love passionately or need, but most potential buyers don’t."

Congratulations to my Birmingham AL Appraiser friend, Tom Horn, SRA, for being quoted in this article. 

Kitchen photo used  was purchased from bigstockphoto dot com

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Baton Rouge Real Estate Market Commentary via BusinessReport.com and Broker Lisa Landers

Baton Rouge Real Estate Market Commentary via www.BusinessReport.com and Real Estate Broker Lisa Landers. May 12 2015 edition, page A8 of 2015 Factbook for Greater Baton Rouge Region. Lisa Landers can be reached at http://www.thelandersteam.com/

2 LISA LANDERS Broker/owner, RE/MAX Professional The Baton Rouge real estate market is strong and steady. The housing slump seen nationally in years past is now over. Interest rates remain low, and home prices are strong. New construction is selling well with many new subdivisions being developed. Baton Rouge is a unique market with a robust petrochemical industry, universities and state government. Low natural gas pric-es have prompted a spike in petrochemical projects and offset any negatives related to the low oil price.
Baton Rouge Real Estate News's insight:

Baton Rouge Real Estate Market Commentary via BusinessReport.com and Broker Lisa Landers

LISA LANDERS Broker/owner, RE/MAX Professional The Baton Rouge real estate market is strong and steady. The housing slump seen nationally in years past is now over. Interest rates remain low, and home prices are strong. New construction is selling well with many new subdivisions being developed. Baton Rouge is a unique market with a robust petrochemical industry, universities and state government. Low natural gas prices have prompted a spike in petrochemical projects and offset any negatives related to the low oil price. RE/MAX Professional opened its doors almost five years ago when the national trend was somewhat negative. We opened with six agents and have always been in the top 10 in production in the Greater Baton Rouge market. In 2014 with 35 agents we were No. 5 for areas four, five and six, and for the first quarter of 2015 we are starting strong in basically the same position. Our first quarter of 2015 actually surpassed our first quarter of 2014 in all performance areas. People buy and sell homes for a number of reasons whether the market is up or down. Right now there seems to be a shortage of inventory, and I believe we are heading toward more of a sellers' market. This is an excellent time to buy or sell your home, and people are taking advantage of this to downsize or move up to the next level of home. The Baton Rouge economy remains strong, and our low unemployment translates to a good year for home sales." 

NOTE: RE/MAX Each office is independently owned and operated.  

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April 2015 Baton Rouge Home Sales, Short Supply by Bill

April 2015 Baton Rouge Home Sales, Short Supply by Bill | Baton Rouge Real Estate News | Scoop.it
APRIL 2015 Baton Rouge Home Sales Down, Home Prices UP and Short Supply Continues by Baton Rouge's Home Appraiser, Bill Cobb Downloadable pdf of charts. BE
Baton Rouge Real Estate News's insight:

How did the April 2015 Greater Baton Rouge Housing Market Perform? April 2015 Greater Baton Rouge Home Sales DOWN, Home Prices Way UP and Short Supply Continues!


Downloadable PDF

BE SURE TO READ IMPORTANT DISCLAIMER ON INFLATED PRICES AND FALSE EQUITY WITHIN BATON ROUGE REAL ESTATE. 
 

Yes, the Baton Rouge Real Estate market in 2015 is fantastic with reports of homes selling in 1 day due to shortage of supply, but not exactly to the extent of the hype in the news or on Facebook. Yes, April 2015 house sales were down and down below both April 2013 and 2014, which is contrary to some of the news and the numbers don’t lie, which is why I like see the actual numbers.
 

http://activerain.trulia.com/blogsview/4664139/april-2015-baton-rouge-home-sales-short-supply-by-bill-cobb-appraiser

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Ogden Park Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 7…

Ogden Park Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70806
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Ogden Park Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70806
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The Shire Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70…

The Shire Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70810
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The Shire Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70810
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Centurion Place Subdivision Baton Rouge Home Sales 2012 to 2015 Zip C…

Centurion Place Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70816.
Baton Rouge Real Estate News's insight:

Centurion Place Subdivision Baton Rouge Home Sales 2012 to 2015 Zip Code 70816.

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Baton Rouge Home Buyers Bring Your Best Offer Quickly

Collier Swecker video blogs about how home buyers in a competitive real estate market need to bring there best offers early in the negotiation process or the...
Baton Rouge Real Estate News's insight:

Home Buyers Bring Your Best Offer Quickly


Collier Swecker video blogs in the Birmingham AL market and his advice is as wise there as it is in Baton Rouge.  Collier blogs about how home buyers in a competitive real estate market need to bring there best offers early in the negotiation process or they may find out that the Sellers have used their offer to get a higher offer that they have turned into a contract. One thing that many home buyers and sellers don’t know (and for that matter many agents) is that home sellers are under no duty to disclose multiple offers and is legally and ethically permissible to use one offer to generate other higher offers from other buyers. At the end of the day a good Seller’s Realtor should be trying to get the most money possible for their Seller and they should do everything they can that is both legal and ethical to maximize their clients investment.


When home buyers bring low offers with bad terms in hopes of starting a negotiation along with their knowledge that it is a weak offer, they are opening themselves not only for rejection but to the Seller’s agent using that offer to generate other interested Buyers to write a contract on the same property, since obviously the home is popular if it is getting shown and also has an offer. Basically, it is creating emotional urgency. On top of the foregoing, most home sellers in todays market cannot afford to just give away their home and most need to get market value in order to be able to sell. 

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Single-Family Rental Market Sizzles in the South

Single-Family Rental Market Sizzles in the South | Baton Rouge Real Estate News | Scoop.it
Investors that buy single-family homes are much less interested in sudden changes in home values as the recovery in the housing market continues. Homes are no longer steeply undervalued. Instead, investors are looking for good long-term returns based on rental income from their properties as well as appreciation in home prices that is based on long-term demand for houses compared to the supply.

Via Russ Bergeron
Baton Rouge Real Estate News's insight:

Single-Family Rental Market Sizzles in the South!  
So true of the Greater Baton Rouge Louisiana Housing Market as well! 

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PARKVIEW OAKS SUBDIVISION BATON ROUGE LOUISIANA 70816 HOME SALES 2012…

PARKVIEW OAKS SUBDIVISION BATON ROUGE LOUISIANA 70816 HOME SALES 2012-2015 YTD
Baton Rouge Real Estate News's insight:

PARKVIEW OAKS SUBDIVISION BATON ROUGE LOUISIANA 70816 HOME SALES 2012-2015 YTD


Since 2012, the average sold price per sq. ft. has increased from $78.00 per square foot to $85.00 per square foot, a $7.00 per sq. ft. increasse, However, since 2012, the median sold price has increased from $173,500 to $175,000, only a $1,500 increase.


http://www.slideshare.net/BatonRougeHousingReports/parkview-oaks-subdivision-baton-rouge-louisiana-70816-home-sales-2012-2015-ytd



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Riverbend Subdivision LSU Baton Rouge Home Sales 2012 to 2015 YTD Zip…

Riverbend Subdivision Baton Rouge Home Sales 2012 to 2015 YTD near LSU Zip Code 70820

Published by Bill Cobb, Greater Baton Rouge's Home Appraiser Baton Rouge Home Appraisals 225-293-1500
http://www.homeappraisalsbatonrouge.com
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Curated by Baton Rouge Real Estate News
Curated Baton Rouge Housing News by Bill Cobb, Greater Baton Rouge's Home Appraiser 225-293-1500.