News Summary
The residential real estate market in New Orleans is reflecting mixed signals as May 2025 shows an increase in average home sales price to $368,907 while closed sales and new listings decline significantly. Notably, Orleans Parish has the highest average days on market at 72. Despite the challenges, consistent mortgage rates below 7% provide some support to potential buyers. As the market evolves, both buyers and sellers must adapt to these changing conditions.
New Orleans
The residential real estate market in New Orleans is exhibiting mixed signals as of May 2025, with both positive and negative trends impacting buyers and sellers alike. While the average home sales price has increased, the number of closed sales and new listings have significantly declined compared to the previous year.
According to data from the New Orleans Metro area, the average home sales price has reached $368,907, reflecting a 2.5% increase year-over-year. However, there were only 1,138 closed sales in May, marking a 6.9% decline from the same time last year. Additionally, the total new listings for the month totaled 2,053, down 9.3% year-over-year.
Alongside these figures, homes in the New Orleans area are experiencing a longer time on the market. The average days on market (DOM) increased to 65 days, which is an 8.3% increase from the previous year. Breaking down the market by parish, Orleans Parish has seen the highest days on market at an average of 72 days, reflecting a 9.1% increase year-over-year.
Price Trends in Different Parishes
When examining the parish-specific trends in May, Orleans Parish recorded an average sales price of $497,482, which is a substantial 5.1% increase from the previous year. In comparison, Jefferson Parish saw average sales prices reach $347,529, up by 4.8%. Meanwhile, St. Tammany Parish reported a slight decline, with the average sales price falling to $363,440, reflecting a 1.2% decrease year-over-year.
Closed Sales and New Listings Overview
In terms of closed sales, Orleans Parish experienced a significant decline, with only 262 transactions, a drop of 13.5% compared to last year. Jefferson Parish also saw decreased activity, recording 307 closed sales, a decline of 8.9%. On a more positive note, St. Tammany Parish recorded a slight increase, with 332 closed sales, which is up by 1.2% year-over-year.
The number of new listings has declined across all major parishes. Orleans Parish noted 580 new listings, down 18.2%, St. Tammany Parish reported 560 listings, down 9.7%, and Jefferson Parish had 533 new listings, down 1.8% year-over-year.
Mortgage Rates and Economic Implications
On the financing side, the 30-year fixed-rate mortgage remains below 7%, sitting at 6.85% for the 21st consecutive week. The 15-year fixed-rate mortgage is currently at 5.99% according to Freddie Mac. These consistent rates may offer some support to buyers in the challenging market.
Conclusion
Overall, the New Orleans real estate market in May 2025 reflects a complex environment where rising prices meet declining sales and listings. As the market continues to evolve, buyers and sellers will need to adapt to these changing conditions while navigating the current economic landscape.
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- Wikipedia: New Orleans
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- Encyclopedia Britannica: New Orleans
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Author: STAFF HERE NEWORLEANS WRITER
NEW ORLEANS STAFF WRITER The NEW ORLEANS STAFF WRITER represents the experienced team at HERENewOrleans.com, your go-to source for actionable local news and information in New Orleans, Orleans Parish, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as French Quarter Festival, New Orleans Jazz & Heritage Festival, and Essence Music Festival. Our coverage extends to key organizations like the New Orleans Chamber of Commerce and Greater New Orleans, Inc., plus leading businesses in energy, healthcare, and education that power the local economy such as Entergy, Ochsner Health, and Tulane University. As part of the broader HERE network, including HEREShreveport.com, we provide comprehensive, credible insights into Louisiana's dynamic landscape.
