Baton Rouge

LouisianaBaton Rouge Metropolitan Area

Real Estate Market Analysis

Q3 2025 Report
$215,000 (June 2025)
Median Home Price
~225,000 (city); ~870,000 (metro area)
Population
$56,000 (metro area, 2024 estimate)
Median Income
East Baton Rouge Parish: C+ to B (varies by school); Ascension Parish: A- to B+
School District Rating

Market Overview

Property Values

$215,000 (June 2025)
Median Home Price
$130 (June 2025)
Price per Sq Ft
+2.4% (June 2024–June 2025)
YoY Change

Market Performance

Days on MarketJust under 30 days (mid-2025); 45 days to pending (Feb 2025)
Market TypeBalanced market; increased inventory and moderate buyer activity
Months of Supply3.5–4.2 months (mid-2025)

Sales Activity

Sales VolumeClosed sales up 9.3% YoY (June 2025); over 2,000 homes sold in East Baton Rouge in H1 2025
Metro AreaBaton Rouge Metropolitan Area
Population~225,000 (city); ~870,000 (metro area)

Economic Indicators

Employment & Growth

Unemployment Rate~4.0% (2025 estimate; stable)
Job Growth Rate~1.2% (2025 estimate)
Median Household Income$56,000 (metro area, 2024 estimate)

Major Employers

  • Louisiana State University (LSU)
  • ExxonMobil
  • Our Lady of the Lake Regional Medical Center
  • Dow Chemical
  • BASF
  • Blue Cross and Blue Shield of Louisiana

Demographics

~225,000 (city); ~870,000 (metro area)
Population
34.5 years
Median Age
Stable to slight growth (~0.5% annually)
Population Growth
33% bachelor’s degree or higher (metro area)
Education Level

Family Composition

Mix of families, young professionals, and retirees

Key Industries

PetrochemicalHealthcareEducationGovernmentManufacturing

Education

School District

East Baton Rouge Parish: C+ to B (varies by school); Ascension Parish: A- to B+
District Rating

Top Schools

  • Baton Rouge Magnet High School
  • LSU Laboratory School
  • St. Joseph’s Academy
  • Catholic High School

Higher Education

  • Louisiana State University (LSU)
  • Southern University
  • Baton Rouge Community College

Infrastructure & Development

Major Projects

  • I-10 widening and modernization (ongoing through 2026)
  • Downtown riverfront revitalization

Transportation

  • Expansion of bus rapid transit (CATS)
  • Improvements to Baton Rouge Metro Airport

Planned Developments

  • Mixed-use developments near LSU and downtown
  • New subdivisions in Ascension and Livingston Parishes

Lifestyle & Amenities

Recreation

  • Brec parks and trails
  • Mississippi River levee biking
  • Golf courses

Dining & Entertainment

  • Downtown restaurants and bars
  • Perkins Rowe
  • LSU sports events

Cultural Attractions

  • Louisiana Art & Science Museum
  • Old State Capitol
  • Shaw Center for the Arts

Investment Analysis

Investment Opportunities

  • Rising rental demand near LSU and downtown
  • Affordable entry points for single-family rentals
  • Potential for value-add in older neighborhoods

Growth Outlook

Steady, moderate growth expected; balanced market conditions

Market Risks

  • Interest rates near 7% limiting affordability
  • Slower appreciation in some segments
  • Insurance costs rising due to weather risks

Rental Market

Strong demand for student and workforce housing; average rents $1,200–$1,400/mo for 2–3 bed homes

Marketing Intelligence

Target Demographics

  • First-time buyers
  • Young professionals
  • Families relocating for jobs
  • Investors seeking rentals

Marketing Channels

  • Zillow, Realtor.com, Redfin
  • Facebook and Instagram ads
  • Local real estate groups

Pricing Strategies

Price slightly below recent comps to drive interest; adjust if no offers in 2–3 weeks

Common Objections & Response Strategies

Objection: Mortgage rates are too high

Response Strategy:

Show historical context and potential for refinancing when rates drop

Objection: Insurance costs are rising

Response Strategy:

Provide quotes from multiple insurers and highlight mitigation steps

Objection: Flood risk concerns

Response Strategy:

Share flood zone maps, recent improvements, and insurance options

Professional Recommendations

1

Educate buyers on rate and insurance realities; focus on total cost of ownership.

2

Advise sellers to price competitively and invest in staging.

3

Target marketing to young professionals and families relocating for jobs.

4

Highlight rental potential and university proximity for investors.

5

Stay updated on local infrastructure and school developments.

Competitive Analysis

Comparable Markets

  • Lafayette, LA
  • Jackson, MS
  • Mobile, AL

Market Positioning

Affordable, stable, and attractive for both end-users and investors

Competitive Advantages

  • Lower median prices than many southern metros
  • Strong university and healthcare employment base
  • Balanced market with less volatility

Price Comparison

Median prices lower than regional peers; better value for investors

Investment Metrics

5.5%–7% for single-family rentals (2025)
Cap Rates
6%–7% gross yield typical
Rental Yields
~13–15
Price-to-Rent
Positive cash flow possible with 20% down, especially near LSU or in affordable neighborhoods
Cash Flow
1–3% annual appreciation expected
Appreciation

Buyer Journey Insights

First-Time Buyers

More options and less competition; need education on rates and insurance.

Move-Up Buyers

Can leverage equity; may face higher payments due to rates.

Downsizers

Good inventory of smaller homes and condos; focus on low-maintenance options.

Investors

Attractive yields in student and workforce housing; focus on location and flood risk.

Relocators

Strong job market and affordable housing; highlight lifestyle and amenities.

This city analysis was generated using comprehensive market data and AI intelligence.

Market conditions change rapidly - consult with local real estate professionals for the most current information.

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