A week ago Wednesday, there were 3000 homes for sale in Baton Rouge. Every one of them sold by Friday last week. People there are now accepting offers $10,000 higher than their listing price -- something totally unknown there. Baton Rouge used to be one of the places where you could get a good-quality sub $90,000 3/2/2 house. Not anymore.
I'm just guessing, but perhaps you are noticing the direct inflationary impact of speculators investing in Baton Rouge? Perhaps wealthy investors are betting that homes will be in high demand in your area because of Katrina? But nobody listens to me, anyway. I'm just a retired geezer living in Oregon.