V
eteran Realtor Jerry Del Rio has been selling houses in Baton Rouge for over four decades. This year, however, is the toughest she's ever had. Despite her extensive experience and marketing efforts, Del Rio is struggling to move a growing inventory of houses that have been sitting for months.

    Across Louisiana, real estate brokers are facing similar challenges. Houses are spending more time on the market, fewer homes are selling, and prices are falling or barely keeping up with inflation. In metro New Orleans, houses spent twice as long on the market during the first five months of this year compared to the same period in 2022, and a third fewer houses sold.

    To deal with the slump, experienced brokers like Del Rio are advising sellers to enhance their property's curb appeal and make it stand out from the crowd. They're also working with lenders and buyers to come up with creative ways of closing a deal, such as splitting the cost of a new fortified roof or helping first-time homebuyers through an owner-financing arrangement.

    Above all, they're advising sellers to be realistic about how they price their homes. "The most important thing is precision pricing, even if that means selling at break-even or a loss," said David Favet, managing broker at Reve Realtors. "It doesn't matter what you paid three years ago; it's about pricing based on what things are selling for today."

    In 2024, prices were down in two-thirds of the ZIP codes in metro New Orleans over the year before, continuing a slide that began in the second half of 2022 and picked up steam in 2023. In Baton Rouge and Lafayette last year, prices were down in about half the ZIP codes.

    Brokers are advising sellers to prepare for a loss, as nearly 70% of Americans have all their wealth tied up in their homes. "It is really hard," said New Orleans broker Jiarra Rayford of Rayford Realty. "But some clients need to prepare to take a loss."

    To make their properties more attractive, brokers recommend simple upgrades and repairs, such as pressure-washing the house, landscaping, and fixing dirty grout lines in the bath. A fresh coat of paint and new fixtures can also get buyers in the door.

    Some brokers are encouraging sellers to come up with creative ways of making deals work, such as offering owner financing or negotiating the cost of needed repairs into the deal. However, they advise against shelling out big bucks for a kitchen renovation or high-end amenity like a pool before listing a house, especially in the current climate.

    As David Landry, who owns and operates David Landry Real Estate in Baton Rouge, said, "Never a pool or an outdoor kitchen; those are terrible returns on your investment. You'll never get it back."