Home Prices are Falling in These Louisiana Gulf Communities

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• Rising demand and limited supply have driven U.S. home prices up by nearly 4% so far in 2024.
• In many popular coastal areas, price increases have far exceeded the national average.
• In Florida, however, not all oceanfront housing markets align with the broader trend.
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Coastal communities are some of the most popular places to live in the United States. But while the U.S. has nearly 12,400 miles of coastline, more than all but seven other countries worldwide, the supply of available oceanfront real estate is inherently fixed.

Fewer than 8% of the more than 3,200 counties and county equivalents across the 50 states border an ocean, and over the last 50 years, these places have reported population growth of over 40 million, according to the National Oceanic and Atmospheric Administration. As of 2022, nearly 30% of the U.S. population lived in a county or parish that borders an ocean.

With rising demand and limited supply, many coastal communities are reporting skyrocketing home prices -- a reflection of the nationwide housing shortage and ongoing affordability crisis.

Though home prices have fallen slightly in recent months, the housing market is still generally more expensive today than it was at the beginning of the year. According to data from Realtor.com , the typical American home was listed for $425,000 in September 2024, a $15,500, or 3.8%, increase from the median list price in January 2024.

In Louisiana, one of 23 U.S. states located along an ocean, home prices have not meaningfully increased since the beginning of the year. Among the 20,183 homes that were on the market statewide in September 2024, the median list price was $275,000, in line with the median price in January. Notably, across coastal Louisiana, not all housing markets have followed this trend.

Of the 64 parishes in Louisiana with available housing market data, 11 border the Gulf of Mexico. In some of these places, home prices have climbed by more than 10% so far in 2024. But in most, a typical home is cheaper now than it was at the beginning of the year. (Here is a look at the most affordable housing market in each state .)

It is important to note that median list prices vary between $178,500 to $421,298 in these parishes as of September 2024, the most recent month of available data. While some of these housing markets are cheaper than they were at the beginning of the year, they are not necessarily affordable areas for a broad range of budgets. (Here is a look at the cities where most homes cost less than $125,000 .)

These are the coastal parishes in Louisiana where home prices have climbed or fallen the most in 2024. All 11 oceanfront parishes in the state, with available data from Realtor.com, are ranked on the percent change in median list price from January to September 2024.

Why It Matters

In recent years, limited supply and rising demand have fueled a surge in home prices. This year alone, the list price of a typical American home has climbed by about 3.8%. In many popular coastal areas, the same supply and demand dynamics that led to the ongoing housing affordability crisis, have been even more pronounced. In Louisiana, however, most oceanfront housing markets have gotten less expensive in 2024.

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