Demand of property due to Hurricane Katrina

Due to the recent events in New Orleans and the damage done by hurricane Katrina residents have caused a large real estate boom in Baton Rouge. So many people are forced to try and find now property and homes near their old residences some are bringing in tons of money and in an attempt to get any property they can. The mayor is worried about priced gouging due to the new demand. Prices have gone as high as a20-30 percent in the last week according to an article on cnn.com.
The next question should be, what is going to happen to Baton Rouge? How will this surplus of people affect it and how so? Will this do good things for Louisiana’s capital or just lead it into more trouble?