T
he New Orleans Metropolitan Association of Realtors (NOMAR) hosted its annual Forecast Symposium, where industry professionals gathered to discuss key factors impacting the housing market. A major theme this year was Louisiana's ongoing insurance crisis, which is severely affecting home sales and affordability. Craig Mirambell, president of NOMAR, says soaring insurance premiums have become a central issue.

    "Insurance prices are outrageous, interest rates are high, the economy is slow, and elections are coming up," said Mirambell. "Homeowners have kept equity in their houses, but the insurance crisis has been pulling down the state's housing industry for two years." He believes recent hurricanes along the Gulf Coast will only complicate matters.

    The high prices have made it tough for some realtors to sell homes, resulting in less money coming in. Misty Frye of Frye & Melancon Realty in New Orleans says the cost associated with buying a home in Louisiana can be overwhelming. "People get emotional when they think they're getting close to closing, but then insurance issues come up and it's like, 'no, you can't do it.'"

    Dr. Jessica Lautz, an economist for the National Association of Realtors, brought a broader view to the forecasting conference. She said Louisiana's real estate industry is facing several headwinds, including declining population and job growth that hasn't rebounded since before COVID.

    Despite these challenges, Mirambell predicts an improving market in 2025. "I'm always optimistic," he said. "We're at a slower time in the market now, but once the election is over and people settle down, we expect the market to pick up."