Increases predicted in 2020 for real estate in SWLA

2020 Predicted increases in real estate for SWLA

LAKE CHARLES, La. (KPLC) - The average cost of a home in Southwest Louisiana in 2019 was $186,000, but that price may change this year, according to a local realtor.

Debbie Link, president of the Southwest Louisiana Association of Realtors, said part of the price change is due to a predicted increase in interest rates.

“The current interest rate averages about 3.9% which is wonderful," Link said. "We’ve gotten used to these low rates. When they jump to 6, somebody would you know, freak out because they’re not used to those higher interest rates. But the increase we’re talking about is minimal, but it will affect the prices of your home, it will affect the prices you can afford in a home.”

Link also predicts prices being affected by more people coming in.

“We’re projecting 3,000 new jobs in 2020 and 3,800 new jobs in 2021,” Link said.

For those looking to rent a home, there aren’t that many homes left.

Melissa Hamilton, a sales manager and associate broker for Flavin Realty, said they’ve seen a 97% occupancy rate.

“There are rental properties, a lot of them are full,” Hamilton said. "The prices are high. I would say there are more options to purchase than rent.”

Hamilton said spring and summer are typically the busiest times to buy and sell homes.

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