You’ve heard the stories about multiple offers and how tough the competition can be for homes in the hottest New Orleans neighborhoods.
But, did you know that, in 2015, 28% of homes sold in New Orleans had a final price tag that was actually higher than the asking price?
New Orleans Homes Sold for More than Listing Price
Breaking down sales by neighborhoods, it’s easy to pinpoint the hottest sections of the city, based on the percentage of property being sold at or over the asking price. There are some surprises here as well, since we would have guessed that the Marigny and Bywater neighborhoods would have clocked in higher on the list, but they were beat out by more suburban locations like the East and Algiers.
Why do some homes sell for more than asking price?
There are several reasons buyers are willing to pay more for a property.
- It’s priced just right, but they need assistance with closing costs. In those cases, the buyer may offer full price plus tack on enough to cover their closing costs, so the seller nets the same amount of money
- The property is underpriced, a marketing tactic designed to generate multiple offers that drive the final price above the listing price
- It’s a hard to find or unique property, with many interested parties that are willing to pay over asking price to win in a multiple offer situation