The St Louis real estate market continues to be hot with many sellers benefiting from the low inventory of homes for sale resulting in buyers flocking to new listings and, when the homes are priced right, multiple offers being received in the first day. Happened for one of my clients again this week…took the listing live on Tuesday at noon, had over 8 buyers through that afternoon and evening and multiple offers in hand by the next morning, all above listing price. Granted, we did a lot of pre-listing marketing to generate interest, and the seller worked hard to make sure the home was in show condition, but if the market wasn’t there, it wouldn’t have mattered.
Is all this activity causing St Louis home prices to rise to quickly and too much? I get asked this question frequently today as none of us have yet forgotten what happened when the housing market bubble burst in 2008 so I spend a lot of time watching home prices in relation to the economy. One of the things I look at to gauge how home prices are doing is to compare the rate home prices are increasing with the inflation rate…afterall, the two should be increasing at roughly the same rate. As the charts below show, St Louis home prices tracked the CPI rate pretty closely through the 1980’s and 1990’s until late in the ’90’s when home prices began increasing at higher rate peaking around 2006 and then falling until around late 2011 early 2012 it was beck in line with CPI. If you look closely, you will see, currently, home prices are just slightly above the CPI line indicating that, so far, so good, with regard to home prices. If you want to take a closer look, click on the chart to be taken to the live chart on St Louis Real Estate Search.
Search St Louis Homes For Sale HERE
See ALL Homes That Will Be Open In St Louis This Weekend
StLouisRealEstateSearch.com
