By Dennis Norman, on March 9th, 2023
A new report just released by ATTOM Data revealed that nearly one of every four homeowners (24.3 %) in the city of St Louis that have a mortgage, are underwater on equity (meaning property owner owes at least 25% more on their home than the current value). At the other end of the spectrum was St Charles County where just 3.9% of homeowners with a mortgage are underwater.
Below is a list of the larger counties in the St Louis MSA and the percentage of the mortgages in the respective county that was underwater during the 4th Continue Reading →
By Dennis Norman, on March 6th, 2023 Allied Van Lines just released its Allied Magnet States Report which revealed that, across the U.S., fewer people moved in 2022 than in 2021. The report shows the number of people moving to or from a State as well as for the metropolitan areas located in that state. For last year, Missouri was considered a “balanced” state with the numbers of inbound and outbound movers being about the same at 52.3% and 47.7% respectively. Our neighbor to the east, Illinois, didn’t fair as well. Illinois was labeled as a “high outbound” state for 2022 with 66.1% of the moves being Continue Reading →
By Dennis Norman, on March 2nd, 2023 During the 4th quarter of 2022, 7,622 home buyers in St Louis applied for a home mortgage according to the latest report from ATTOM Data. According to the report, this is the lowest number of mortgage applications in a quarter from home buyers in St Louis since the 1st quarter of 2011 when there were just 5,629 applications. Mortgage applications to purchase a home peaked in St Louis in the 3rd quarter of 2005 when there were 18,002 applications.
As the chart below illustrates, the drop in St Louis homeowners refinancing their mortgage is even more dramatic. During the last Continue Reading →
By Dennis Norman, on February 22nd, 2023 Today, the U.S. Department of Housing and Urban Development (HUD) announced a reduction in the mortgage insurance premium charged to borrowers on FHA loans. The mortgage insurance premium is a charge over and above the interest on the loan that is the fee to HUD for insuring the loan. Currently, the FHA mortgage insurance premium varies from 0.45% to 1.05% of the loan amount depending upon the loan term (15 or 30 years) and the LTV (loan to value). Effective with FHA mortgages endorsed for insurance by FHA on or after March 20, 2023, the rate will be reduced by Continue Reading →
By Dennis Norman, on February 21st, 2023 There have been a fair number of reports about the increase in distressed home sales in various markets around the country and on the national level. However, in St Louis, distressed home sales are on the rise, they are still at levels that are historically quite low.
Distressed home sales that involve some sort of distress or other condition that would typically result in the home not selling for a normal “retail” price like it would if it were a typical listing in market ready condition with normal marketing time allowed. The chart below shows distressed home sales in the Continue Reading →
By Dennis Norman, on February 15th, 2023 Last week, there were 405 new listings of homes for sale in the St Louis 5-county core market, according to the STL Real Estate Trends Report from MORE, REALTORS®. During the same week, there were 365 new sale contracts written on homes for sale resulting in a new listing to new contract ratio of 1.11. As the tables below illustrate, the only county that had more new sales last week than new listings was Franklin County with 16 new sales and 15 new listings.
Listing supply remains low…
As the table at the bottom shows, as of today, there is Continue Reading →
By Dennis Norman, on February 10th, 2023 Last month, there were 307 properties with foreclosure filings in the St Louis MSA, according to ATTOM Data’s U.S. Foreclosure Market Report. This represents an increase of 25% in St Louis foreclosures from January 2022 to January 2023.
It’s not as bad as it sounds…
While a 25% increase sounds bad, the chart below, which shows foreclosure filings for the St Louis MSA since 2006, puts it in perspective. Last year, there were 4,066 total foreclosure actions for the year so even if our foreclosure activity for 2023 would continue to be 25% higher than last years level, it would Continue Reading →
By Dennis Norman, on February 9th, 2023 Last week, there were 350 new listings of homes for sale in the St Louis 5-county core market, according to the STL Real Estate Trends Report from MORE, REALTORS®. During the same week, there were 442 new sale contracts written on homes for sale resulting in a new listing to new contract ratio of 1.26. So while new contracts are still out numbering new listings, last weeks margin was much lower than a year ago during the same week. As the tables below show, last year during the same week there were only 266 new listings of homes for sale Continue Reading →
By Dennis Norman, on February 7th, 2023 According to data released by ATTOM Data Research, during the fourth quarter of 2022, 42.37% of the homeowners with a mortgage within the 63376 zip code, were “equity-rich” meaning their mortgage balance was just 50% or less of the current value of their home. The table below shows the 10 St Louis zip codes with the highest percentage of equity-rich mortgages. Half of zip codes on the list are located within the St Charles County, four in St Louis County and one in Jefferson County
Also shown on the table is the percentage of homeowners with a seriously-underwater mortgage, meaning Continue Reading →
By Dennis Norman, on February 6th, 2023 According to data released by ATTOM Data Research, during the fourth quarter of 2022, 35.7% of the homeowners with a mortgage within the 63118 zip code, were seriously underwater on their mortgage, meaning their mortgage balance exceeds the value of their home by 25% or more. The table below shows the 10 St Louis zip codes with the highest percentage of seriously underwater mortgages. Half of zip codes on the list are located within the City of St Louis and the other half are located in North St Louis County.
Also shown on the table is the percentage of homeowners Continue Reading →
By Dennis Norman, on February 5th, 2023 For the 12-month period ended January 31, 2023, there were 24,993 homes sold in the St Louis 5-county core market which, as the STL Market Report below (available exclusively from MORE, REALTORS®) shows, is nearly a 17% decline in home sales from the the prior 12-month period when there were over 30,000 homes sold. The median price of homes sold during the most recent 12-month period was $266,500, an increase of 6.6% from the prior 12-month period.
St Louis home sales trend falling fast….
Below the market report is a STL Market Chart showing (also available exclusively from MORE, Continue Reading →
By Dennis Norman, on January 25th, 2023 There were 4,361 building permits issued for new single-family homes in the St Louis area during 2022, a decline of 9.62% from 2021 when there were 4,825 permits issued, according to the latest data from the Home Builders Association of St. Louis & Eastern Missouri (St Louis HBA). As the table below shows, 4 of the 7 counties included in the report had a decline in the number of permits issued in 2022 from the year before, with there of them double-digit declines. Lincoln County saw the biggest drop percentage-wise with a decline of 38.27% followed by St Charles County Continue Reading →
By Dennis Norman, on January 19th, 2023 A report just released by ATTOM data shows that St Louis home prices are rising at a rate significantly higher than the rate wages in St Louis are rising and St Louis rental rates are increasing at rates higher than home prices. As the chart below shows, during the past year, wages in the St Louis metro area increased 3.8% however, home prices in St Louis increased 7.9% and rental rates increased 11.2%.
Search St Louis Homes For Sale Search St Louis Upcoming OPEN HOUSES St Louis MSA – Housing Affordability
Data source: ATTOM Data – Continue Reading →
By Dennis Norman, on January 13th, 2023 The median price of homes sold in Franklin County increased from 2021 to 2022 at nearly double the rate the price of homes sold in St Louis County did during the same period. As the chart below shows, the median price of homes sold in Franklin County during 2021 was $206,000 and then increased 6.7% to $219,800 in 2022. During the same period, the median price of homes sold in St Louis County increased 3.4% from 246,500 to $255,000.
[xyz-ips snippet=”Franklin-County-For-Sale-and-Open-Houses”][xyz-ips snippet=”St-Lous-County-Homes-For-Sale”]
Franklin County vs St Louis County Home Prices – 2021-2022
(click on chart for live, interactive Continue Reading →
By Dennis Norman, on January 13th, 2023 During 2022, there were 4,066 properties with foreclosure filings in the St Louis MSA, according to ATTOM Data’s U.S. Foreclosure Market Report. This represents an increase of 46% in St Louis foreclosures from 2021 and a 48% increase from 2020.
It’s not as bad as it sounds…
While the 2022 increase sounds bad, the chart below, which shows foreclosure filings for the St Louis MSA since 2006, puts it in perspective. The foreclosure activity in St Louis last year, while higher than the two prior years mentioned above, was lower than the 14 years prior. As the chart illustrates, as Continue Reading →
By Dennis Norman, on January 12th, 2023 There were 4,515 building permits issued for new single-family homes in the St Louis area during the 12-month period ended November 30, 2022, a decrease of 6.93% from the same period a year ago when there were 4,851 permits issued, according to the latest data from the Home Builders Association of St. Louis & Eastern Missouri (St Louis HBA). Four of the seven counties covered in the report saw an increase in building permits from the same period a year ago with the largest increase (9.15%) coming in St Louis County.
Search St Louis Homes For Sale Search Continue Reading →
By Dennis Norman, on January 6th, 2023 Kind of an attention-getting headline, huh? At least it’s not as bad as a lot of the gloom and doom headlines I’m reading today about the real estate market. Many folks out there are predicting a total meltdown of the housing market, and our economy as a whole for that matter. Don’t get me wrong, I’m not drinking the “there’s nothing to see here” Kool-Aid, I do believe we are in for some rough times ahead, I am just not convinced it’s going to be as bad here in St Louis as in many parts of the country.
So back Continue Reading →
By Dennis Norman, on December 25th, 2022
By Dennis Norman, on December 21st, 2022 Even though the number of new home building permits in the St Louis area has been on the decline, they’re been on the increase in the midwest region of which St Louis is a part. As the chart below illustrates, for the 12-month period ended last month, there are been 2,850 building permits issued for new privately-owned housing units in the midwest region of the U.S. an increase of 3.6% from he prior 12-month period when there were 2,746 permits issued. For just the month of November 2022, there were 197 permits, down nearly 8% from November 2021 when 214 Continue Reading →
By Dennis Norman, on December 20th, 2022 Today, the Consumer Financial Protection Bureau (CFPB) released details of a Consent Order they reached with Wells Fargo Bank, N.A. in which Wells Fargo is ordered to pay “more than $2 billion in redress to consumers and a $1.7 billion civil penalty for legal violations across several of its largest product lines.” According to a press release issued by the CFPB, Wells Fargo’s “..illegal conduct led to billions of dollars in financial harm to its customers and, for thousands of customers, the loss of their vehicles and homes.” Rohit Chopra, the Director of the Consumer Financial Protection Bureau, stated “Wells Continue Reading →
By Dennis Norman, on December 20th, 2022 As the chart below illustrates, yesterday, mortgage interest rates on a 30-year fixed rate conventional mortgage increased slightly to 6.27% after dropping to 6.13% last Thursday, the lowest level in over 3 months.
Historically-speaking, it’s not that bad….
Granted, no one really wants to hear this, but, if we look at the bigger picture (like the bottom chart that goes back to 1971) we’ll see that our current mortgage interest rates aren’t that high. In fact, over the 52-year period depicted on the chart, about 70% of the time mortgage interest rates were higher than they are now. If you’re Continue Reading →
By Dennis Norman, on December 19th, 2022 The National Association of Home Builders (NAHB) released their NAHB/Wells Fargo Housing Market Index (HMI) report for December 2022 and, not surprisingly, it shows the builders are continuing to lose confidence in the market. In fact, builder sentiment has dropped every month during 2022, ending the year at an index value of 31, the lowest seen since the onslaught of COVID-19 in April 2020.
Search St Louis Homes For Sale Search St Louis New Homes For Sale NAHB/Wells Fargo Housing Market Index (HMI) / Builder Sentiment Chart
(click on chart for live, interactive chart)
Continue Reading →
By Dennis Norman, on December 15th, 2022 There were 900 homes and condominiums “flipped” during the third quarter in the St Louis M.S.A., according to data just released by ATTOM Data Solutions. As the chart below illustrates, these flips represent 6.6% of all sales during the 3rd quarter of 2022, a decrease of 28.8% from the prior quarter but an increase of over 15% from a year ago.
[xyz-ips snippet=”Foreclosures-For-Sale-and-Homes-For-Sale”]
St Louis Home Flipping Trends
Continue Reading →
By Dennis Norman, on December 9th, 2022 There were 4,499 building permits issued for new single-family homes in the St Louis area during the 12-month period ended October 31, 2022, a decrease of 7.01% from the same period a year ago when there were 4,838 permits issued, according to the latest data from the Home Builders Association of St. Louis & Eastern Missouri (St Louis HBA). Five of the seven counties covered in the report saw a decrease in building permits from the same period a year ago with three of the counties have a double digit decline. Franklin County came out the big winner with nearly Continue Reading →
By Dennis Norman, on December 8th, 2022 During November, there were 255 properties with foreclosure filings in the St Louis MSA, according to ATTOM Data’s U.S. Foreclosure Market Report. This represents an increase of 42% in St Louis foreclosures from November of 2021 but is a decline of over 76% from the prior month, according to the report.
As the chart below shows, 8 counties reported an increase in foreclosures from a year ago, 2 counties had a decrease in foreclosure activity and 5 had no change in activity. Macoupin County, Illinois saw the largest increase at 367% followed by Warren County, Missouri at 300%.
[xyz-ips snippet=”Foreclosures-For-Sale-and-Homes-For-Sale”]
Continue Reading →
By Dennis Norman, on December 2nd, 2022 This week the Federal Housing Finance Administration (FHFA) announced that the limits for all conforming home loans to be acquired by Fannie Mae and Freddie-Mac (most of the conventional home loans originated) will increase to $726,200 on January 1, 2023. This is an increase of $79,000 for the current loan limit of $647,200.
Also this week, the Federal Housing Administration (FHA) announced that the limits for all FHA loans will increase to between $472,030 and $1,089,300 for single-family homes depending on the area the property is located in. Below are the limits for the low cost mortgage areas as well Continue Reading →
By Dennis Norman, on December 2nd, 2022 According to results just released by Lending Tree from a survey they conducted in October, 61% of tenant’s surveyed feel their rent is more expensive than it should be. Twenty-six percent of tenants felt their rent was about what it should be, 9% didn’t know if their rent was the right amount or not and 5% actually felt their rent was too low.
Search St Louis Homes For Sale Search St Louis Upcoming OPEN HOUSES How Renters Feel About Their Rent
Continue Reading →
By Dennis Norman, on December 1st, 2022 According to results just released by Lending Tree from a survey they conducted in October, 41% of American’s surveyed expect the housing market to crash next year. As the table below, which shows the results by generation, the Millennials are the most pessimistic about the market with 44% of the millennials surveyed believing the housing market is headed to a crash. The most optimistic generation? Baby boomers, with only 35% of the generation I belong to believing we are headed to a crash.
Inflation is the leading culprit…
Of those surveyed that believe the housing market is headed for a Continue Reading →
By Dennis Norman, on November 30th, 2022 The National Association of REALTORS (NAR) just released its pending home sales report for October 2022 which revealed pending home sales in the U.S. were down 37% from October 2021. The Northeast market had the smallest decline in year-over-year pending home sales with a decline of 29.5% followed by the Midwest with a decline of 32.1%, the South with a decline of 38.2%. The west region of the U.S. saw the biggest decline in pending home sales with a decline of 46.2% from October 2021 to October 2022.
The St Louis market is performing better…
While the NAR does not Continue Reading →
By Dennis Norman, on November 25th, 2022 As the chart below illustrates, on November 10th, mortgage interest rates on a 30-year fixed rate mortgage dropped sharply from 7.22% the day before to 6.62% on the 10th. Since dropping, interest rates have remained around the 6.6% level.
Historically, the current rates are not bad, but that does lessen the impact…
As the bottom chart below shows, interest rates have been above the current levels for over half the period. However, understandably, that doesn’t mean much to first-time home buyers or younger homebuyers as for over the past 10 years the rates have been much less, even to the Continue Reading →
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