In the last half of 2007 28 listings sold at an average price of $144 per square foot versus an average of $134 per square foot in the first half of 2008. That’s a drop in price for sure, but there are a number of factors that help explain what’s going on.

First, it’s only been recently that foreclosures and fixer-uppers have come into the Bywater and Marigny markets at such great prices. Lisa and I recently sold some houses that were such great deals, we would have bought three of them ourselves if we didn’t have clients lined up for them!

There are many more foreclosures and houses that need work that sold in the first half of 2008 which accounts for the lowered price. And these deals have been attracting buyers - renters from the neighborhood and investors from out of town - who see the value in these prices and realize they won’t be around long.

Also, while the first couple months of 2008 were very slow, June and July have seen a flurry of activity. Just in the past couple months we’ve had multiple offers on some of our listings as well as some properties going under contract before we can even show them. So that’s always a good sign!

How do I interpret the statistics as well as what Lisa and I are seeing out on the street? I think Bywater and Marigny are amazing neighborhoods that have a lot of value, and people can see that. It seems the market in Bywater and Marigny has hit its low, and it really wasn’t that painful for us, which is the good news.

I guess you just can’t keep a good thing down!

Here are the statistics for area 70 in the MLS which includes the river side of Bywater and Marigny (Poland Ave to Esplanade, St. Claude to the river). These are for single family homes in any condition.

July-December, 2007

Average sold price/sf: $144

Average Days on Market: 126

January-June, 2008

Average sold price/sf: $134

Average Days on Market: 144