R
eal estate professionals in the Capital Region are cautious about predicting how the area's residential market will perform in 2025 due to various factors at play.

    Tom Cook of Cook, Moore, Davenport & Associates expects the first half of the year to be similar to 2024, with demand remaining strong and inventory low. He believes prices will stabilize or slightly increase, and absorption rates will remain good. Cook attributes this to consumers adapting to current interest rates, which have been volatile.

    The Greater Baton Rouge Association of Realtors reports that home inventory in the Capital Region has increased by 9.2% in November, while the average time a home stays on the market has risen to 73 days from 66 days previously. Realtor Jerry Del Rio notes that the market's sluggishness is partly due to unstable interest rates.

    Quita Cutrer of Burns & Co. points out that the number of days on market varies depending on location and property condition. She cites an example where a home under $600,000 received four full-price offers within 24 hours. However, she also notes that outlier sales can significantly impact average time-to-sale figures.

    Cook observes that homes are taking longer to sell compared to when interest rates were lower, but potential buyers are adjusting to the new reality. He distinguishes between a moderate increase in days on market (30-60 days) and an extended period (90-120 days), which he considers problematic.