1. 7th Annual Economic & Real Estate Forecast
Loyola University, Roussel Hall
A Partnership with NOMAR, CID,
&
Loyola University

2. GNO Real Estate Market - 2017
Phase I - PEAK
Unit Sales Increasing Prices Increasing Inventory Decreasing
Phase II CORRECTION
Unit Sales Decreasing Prices Increasing Inventory Increasing
Phase III TROUGH
Unit Sales Decreasing Prices Decreasing Inventory Increasing
Phase IV RECOVERY
Unit Sales Increasing Prices Decreasing Inventory Decreasing

3. Supply and Demand is at Equilibrium & The Market continues to transition…
Signs:
Prices softening especially in the higher price brackets (all markets)
D.O.M. increased by 20%

4. Seller’s Markets Greater New Orleans Area
Single Family- Active Listings vs. Sold Listings
Jan – Jun. 2017
Seller’s Markets
Source: LATTER & BLUM Research Division.
This representation is based in whole or in part on data supplied by New Orleans Metropolitan Association of Realtors, St. Tammany Association of Realtors, Tangipahoa Board of Realtors, Baton Rouge Board of Realtors or their Multiple Listing Services. Neither the Boards, Associations, nor their MLS guarantees or is in any way responsible for its accuracy. Data maintained by the Boards, Associations or their MLS may not reflect all real estate activity for all years.

5. Seller’s Markets & Flood Impact Greater Baton Rouge Area
Single Family- Active Listings vs. Sold Listings
Jan thru Jun. 2017
Seller’s Markets
& Flood Impact
Source: LATTER & BLUM Research Division.
This representation is based in whole or in part on data supplied by New Orleans Metropolitan Association of Realtors, St. Tammany Association of Realtors, Tangipahoa Board of Realtors, Baton Rouge Board of Realtors or their Multiple Listing Services. Neither the Boards, Associations, nor their MLS guarantees or is in any way responsible for its accuracy. Data maintained by the Boards, Associations or their MLS may not reflect all real estate activity for all years.

6. Household Creation in USA 2000 - 2016

7. Households - Renting VS Owning
+7%
+36%

8. Housing Supply Nationally

9. Market Conditions
1st Timers Historically…40% -44%

10. Millennials…are sitting out!

11. What did they see?

12. What did they see? The biggest housing bubble burst in history
12.5% of all home mortgages - 10 Million people (200,000 per state) underwater
7 Trillion in Real Estate wealth destruction!

13. Impacts on the Trend Line… Rising Interest Rates

14. Impacts on the Trend Line… Available Credit

15. Foreclosure rate - 1/20th typical Fannie Mae

16. Homeownership Tenure People holding on to their homes longer!

17. GNO Area - Months of Inventory Pended Sales Rate
2017, Q3 – 4.4 Months 2017, Q1 – 3.1 Months Months Months Months Months Months Months

18. Are we in a bubble now?
No… inventory shortages are driving price increases!

19. Impacts on the Trend Line… Inventory Shortages New Construction in “Sweet Spot” pricing

20. Impacts on the Trend Line… Crime Prevention Success

21. Impacts on the Trend Line… Crime Prevention Success
OUR VISION is to ensure all students in New Orleans read at grade level by the end of third grade

22. Dr. Bob gets it….

23. Latter & Blum Companies
Thank you!
Rick Haase, President
Latter & Blum Companies