Trouble Occupying Housing Stock in New Orleans

More than 8,800 houses are for sale in the New Orleans metropolitan area — almost as many as were sold in the last 12 months, according to one of the city’s leading real estate brokerage firms. High insurance costs and the crash in the mortgage market nationwide have slowed sales here, whether people are moving out of town or opting to relocate to a different neighborhood.

Thousands more damaged houses — probably 6,000 within the city limits — are being bought by the State of Louisiana through its Road Home program, which compensates homeowners for their losses in the 2005 hurricanes. These properties will be turned over to local governments for redevelopment or resale. (By one estimate, as many as 20,000 buildings in the city are derelict.)

Meanwhile, 27,500 families, mostly from New Orleans, are still living in tiny, tinny government-issued travel trailers across the state, waiting for their homes to be repaired or for some kind of affordable housing to become available. Many other people remain in faraway cities. And hundreds — by some accounts, thousands — live on the city streets.