Regardless of the area of the state of Louisiana from New Orleans considered the heart of the state to Baton Rouge the state Capital, Bossier City to Lafayette, Lake Charles, Alexandria, Shreveport or anywhere in between no parish or city in Louisiana has been untouched by the devastation that has nearly crippled the Bayou State.
Starting with the mortgage meltdown which proceeded the global financial recession was of all things a second ecological disaster when the Deepwater Horizon, offshore deep water oil rig began to dump millions of gallons of water into the Gulf of Mexico. This perfect storm of financial and financial problems has created a near cataclysmic economic collapse for the great state of Louisiana.
This string of events has challenged the state and the citizens that live there to overcome the latest catastrophe. That catastrophe is the recent Real Estate meltdown.
No Parish has been immune from the rising number of foreclosures. Currently Louisiana ranks among the Top 10 for highest number of foreclosures per housing unit in the nation.
Because of this foreclosure homes are available across the state in greater numbers today than in any other time in its history. With the agricultural and industrial base of the state being decimated by the near collapse of the oil and seafood industries, Louisianna has been hurt more than any other state in the US. This is bad news for most residents in the state but seen differently is surprisingly good news for smart real estate investors.
Unemployment in Louisiana has experienced a spike of record proportions since the Deepwater Horizon literally stopped both fishing and oil production in the state.
However the recent moratorium on deep water drilling is due to be lifted and fishing is coming back with strength. Oil production and related businesses create over 300,000 jobs in Louisiana and the moratorium put further downward pressure on the struggling housing market and added more foreclosures to the swelling numbers of vacant homes.
On the positive side Louisiana has several industrial sectors that show signs of growth. New Orleans and Baton Rouge are hubs for the Port of South Louisiana which is the largest shipping port in the western hemisphere and the largest bulk cargo port in the world. Therefore real estate in these cities will see a faster than average recovery. Shreveport is also a growing film and entertainment center with one of the largest studios to be opened anywhere outside of California.
Several Louisiana based companies were recently named to the Fortune 1000 list. Leading the half dozen was Entergy followed by Superior Energy Services, Pool Corporation, The Shaw Group, CenturyTel and Albermarle. All of the companies listed are located in the more densely populated Parishes in the state which points to the value of buying foreclosed homes in areas that are easiest to find qualified home buyers or renters so that the time of vacancy and the carrying costs are reduced as much as possible.
The population density of Louisiana is average for the Country which is good for the real estate investor. Many states such as Illinois have populations that are concentrated in a single geographic area which does not produce the balance or number of opportunities as a more diversified population. Of the 64 Parishes that make up Louisiana the majority have more than 50,000 residents and only 4 Parishes have fewer than 10,000 residents.
Regardless of the causes, Louisiana currently offers smart Real Estate investors the opportunity of a life time as the number of potential buyers has not diminished and there is an abundance of real estate at reduced prices that can be taken advantage of.
As the 25th most populated state in the country and an land area that ranks 31st in the nation and the population density 24th overall these numbers indicate that there are a high number of potential buyers for any home that could be purchased as a foreclosure and then resold to that same population without relying on any growth.
Population data is very important when it comes to making a purchase of a home, be it a foreclosure or not. You must have someone that wants to either buy it from you or rent it from you in the future. With a Real Estate investor the word future can mean later the same day as with an owner occupant "future" could mean 3 to 5 years. Either way, if you are buying a foreclosure in Louisiana, anywhere in Louisiana the population of the area must be taken into consideration. Generally the higher the population the better chance for a quick and profitable sale. The more rural the home the lesser the chances of getting that quick sale that can mean all the difference, especially in a troubled economy.
Other variables in buying foreclosures in Louisiana include but are not limited to, where a home is located, density of that areas population, what is the economic outlook for that particular area of that Parish, how much is owed on the home and how much the particular home is worth in today's market.
In order to take full advantage of all that the foreclosure market has to offer in Louisiana read more about how to buy foreclosures and educate yourself on the communities you are most interested in buying a foreclosure. Start shopping here for the foreclosure home that meets your needs. You will constantly find foreclosures in Orleans, Shreveport, Calcasieu, East and West Baton Rouge, Gretna, Lafayette, Monroe, Alexandria, Covington and Amite. If you are facing a pending foreclosure call a local real estate professional and determine what types of options you have. Your options will depend on your particular situation.
Q. Does the higher number of foreclosures mean that there are too many homes already for the population?
