Real Estate Market - St Louis Real Estate News

New Listings Of St Louis Homes For Sale Trailing Sales Slightly

By Dennis Norman, on November 30th, 2020

Yesterday, I wrote an article titled “St Louis Home Sales – No end in sight?” in which one of my caveats had to do with listing inventory, noting the obvious that no matter how many homebuyers are out there, if there is nothing for them to buy, St Louis home sales will fall. As promised, I did an analysis of new listings and inventory using proprietary software we have developed at MORE, REALTORS to enable our agents to fully comprehend the market and be able to use that knowledge to serve their clients.

The first table below is our leading Continue Reading →

St Louis Home Sales – No end in sight?

By Dennis Norman, on November 29th, 2020

I think just about everyone that is trying to buy or sell a home in St Louis or even thinking about it, is well aware that we have been in a strong real estate market here in St Louis for some time now. The St Louis real estate market has favored sellers for the past several years largely due to a low supply of homes for sale and continuing demand by home buyers. The question I’m often asked though, especially right now with so much going on in our country right now that could impact the economy (COVID-19 and the Continue Reading →

St Louis Home Sales Trending Downward Last 12-Months- Not So In St Charles and Jefferson County

By Dennis Norman, on August 21st, 2020

Given the impact of COVID-19 on the St Louis real estate market, particularly during the late winter/early spring months as well as a low-inventory market already, it should not come as a surprise that St Louis area home sales have trended downward somewhat during the past 12-months. As our STL Market Report below shows, for the 5-county core St Louis real estate market, there were 26,723 homes sold during the 12-month period ended July 31, 2020, a decline of 0.88% from the prior 12-month period when there were 26,960 homes sold. That very modest decline I think is actually very Continue Reading →

Two Mid-town St Louis City Zip Codes Have Highest Percentage of Equity-Rich Homeowners

By Dennis Norman, on August 7th, 2020

During the second quarter of 2020, 32.3% of the homeowners with a mortgage within the 63110 zip-code, were equity-rich on their mortgage, meaning their mortgage balances were less than 50% of the value of their homes, according to data just released by ATTOM Data Research. As the table below shows, the zip codes of 63112 and 63143 were not far behind 63110, with equity-rich percentages of 31.6% and 30.0% respectively.

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St Louis Equity-Rich Homeowners

(Click on table for the complete list)

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Over 40 Percent Of Homeowners With Mortgage In 3 North St Louis Zip Codes Are Underwater

By Dennis Norman, on August 6th, 2020

During the second quarter of 2020, 45.5% of the homeowners with a mortgage within the 63115 zip code, were underwater on their mortgage, meaning they were in a negative-equity position, according to data just released by ATTOM Data Research. As the table below shows, the north county zip codes of 63137 and 63136 were not far behind at 45.1% and 41.3%, respectively. Of the 10 St Louis-area zip codes with the highest rate of underwater homeowners, 7 were in St Louis County and 3 in the City of St Louis.

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St Louis Underwater (Negative-Equity) Homeowners By Zip Code Continue Reading →

Percentage of Underwater Homeowners In St Louis Drops To Lowest Level in Over 7 Years

By Dennis Norman, on August 6th, 2020

During the second quarter of 2020, 9.8% of the homeowners in St Louis with a mortgage, were underwater on their mortgage, meaning they were in a negative-equity position, according to data just released by ATTOM Data Research. As the table below shows, this is the lowest level of St Louis homeowners that are seriously underwater since 2013 when this data was first tracked. In spite of financial difficulties and hardships that people may be suffering as a result of COVID-19, the downward trend of underwater homeowners in St Louis that began during the 3rd quarter of 2019 continues.

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St Louis Has 13th Highest Homeownership Rate of Major Metros In 2nd Quarter

By Dennis Norman, on July 28th, 2020

The homeownership rate in the St Louis MSA for the second quarter of this year was 74.0%, according to the latest data from the U.S. Census Bureau. This is an increase from 68.4% for the first quarter and moves St Louis from having the 22nd highest homeownership rate of the 75 largest MSAs in the US to the 13th highest!

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Homeownership Rates By MSA – 2nd Quarter 2020 Continue Reading →

More New Listings In St Louis Added Last Week Than Year Ago But Not Keeping Pace With Sales

By Dennis Norman, on June 20th, 2020

Yesterday, I shared a report on new sales of listings in the St Louis MSA which showed sales were up 10% for the week from a year ago. Today, I created the report below which shows new listings during the same week, and while the number of new listings was up 8% for the week from a year ago, they still didn’t keep pace with the new sales. As the report reveals, there were 1155 new listings in the St Louis MSA last week and, as yesterday’s report showed, 1245 sales, so nearly 8% more new sales than new listings.

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Flipped Houses In St Louis Jumps Nearly 14 Percent During First Quarter

By Dennis Norman, on June 17th, 2020

There were 542 homes “flipped” in the St Louis metro area during the first quarter of 2020, or 8.5% of the total number of homes sold in the St Louis metro area during the quarter, according to data just released by ATTOM Data Solutions. This is an increase of 13.8% from the prior quarter and is a decrease of 2% from a year ago. The median gross profit was 52,900 a 60.8% gross ROI.

Definition of a “flipped” home…

For the purposes of this report, a flipped home is considered to be any home or condo that was sold during Continue Reading →

St Louis Housing Market Stays Steady In Spite of COVID-19

By Dennis Norman, on June 9th, 2020

The St Louis real estate market slowed when the effects of COVID-19 hit the St Louis area in early March but after continuing at a slower pace for a few weeks has quickly shifted gears to a faster pace. The St Louis market has improved to the point that, for the 12-month period ended May 31, 2020, St Louis home sales were down just 1.84% from the prior 12-month period. The median price of homes sold during the past 12-months was $213,000, an increase of 6.55% from the prior period.

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St Louis 5-County Core Market Home Sales and Continue Reading →

Showings Of Listings In St Louis Last Week Over 12 Percent Higher Than Year Ago

By Dennis Norman, on May 30th, 2020

COVID-19 lingers on but the real estate market in St Louis has made a quick recovery from the negative impact it had on the market. The data supports the idea that home buyers are tired of waiting for everything to come back to “normal” (or whatever variation of normal the new normal is) and have been out looking at and buying homes. This is evidenced by the chart below which depicts showings of listings this year and compares each 7-day period with the year before. As you can see, showings this year (the orange line) we down, significantly from last Continue Reading →

40 Zip Codes In The St Louis MSA Have 1 Month Or Less Supply Of Homes For Sale

By Dennis Norman, on May 21st, 2020

It’s no wonder home buyers are tripping over themselves and getting into bidding wars to buy a house as the supply of homes for sale is at or near historic lows. As our table below shows, there are currently 40 zip codes in the St Louis MSA with a one-month or less supply of homes for sale (7 of the zips have no homes for sale) and a total of 76 of the 127 (60%) zip codes within the St Louis MSA have a supply of homes for sale of 2 months or less.

This low inventory, along with low-interest Continue Reading →

More Showings of Listings In St Louis Last Week Than Year Ago

By Dennis Norman, on May 16th, 2020

As the St Louis real estate market continues to distance itself from the effects of COVID-19 and the resulting stay at home orders and business shutdowns, I continue to see market activity that is encouraging. For example, as the chart below shows, for the most recent week, reported (through last Thursday) the showing activity on listings in St Louis and surrounding areas were at a level that is 3.9% higher than for the same period last year. This is a huge rebound since showings hit bottom in the middle of the lock-down on April 9th and fell to a level Continue Reading →

St Louis Real Estate Market Update VIDEO – May 2020

By Dennis Norman, on May 14th, 2020

The St Louis real estate market continues to be on the upswing and recovering from the impact of COVID-19. The pandemic did slow the St Louis real estate market down for a while but it appears to be recovering quite quickly. Get all of this and more in this month’s update. Interest rates, the “cherry on top”. In case the market rebound isn’t enough, mortgage interest rates are at near historic lows making now a great time, and an affordable time, to buy a house if you are in a position to do so. [xyz-ips snippet=”Market-Update-Video-Package”] [xyz-ips snippet=”Seller-Resources—Listing-Targeted”] Continue Reading →

St Louis Real Estate Market Continues To Rebound From The “COVID-19 Effect”

By Dennis Norman, on May 13th, 2020

As the St Louis area slowly moves toward starting to come back to life, so to speak, the St Louis real estate market continues to heat up! After getting a gut punch from the COVID-19 pandemic, which I now refer to as “The COVID-19 effect”, the St Louis market has been steadily making a come back. As the table below shows, the total number of new sales of residential listings last week for the St Louis MSA as a whole was down just 6% from the same time last year, and down just 10% for the 5-County core St Louis Continue Reading →

We’re Back! (Showings that is…)

By Dennis Norman, on May 9th, 2020

I may be jumping the gun just a little, but showing activity on residential listings during the past week is just about back to where it was this time last year when there wasn’t a COVID-19 pandemic! As the chart below illustrates, the weekly average for showings through May 8th is just down a little over 2% from the same time last year and is up 40% from the first week of January this year.

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Showing Activity For St Louis and Surrounding Market Areas

(click on the chart for a live, interactive chart)

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St Louis New Listings Down Nearly Double What Sales Are From Last Year

By Dennis Norman, on May 3rd, 2020

Prior to COVID-19, there had already been a shortage of residential listings for sale in many areas and price ranges through St Louis going back a couple of years. However, the problem may be getting worse as we are continuing to see new sales of residential listings in St Louis picking up the pace to the point that they are down just 16% from the same time a year ago but, new listings in the St Louis MSA are down 30% from the same time a year ago.

Since we started with a low inventory and now have the sales Continue Reading →

Homeownership rate for the St Louis MSA is 22nd highest of largest MSAs

By Dennis Norman, on April 29th, 2020

The homeownership rate in the St Louis MSA for the first quarter of this year was 68.4%, according to the latest data from the U.S. Census Bureau. While this was just a slight increase from the prior quarter, when the St Louis homeownership rate was 68.3%, it was good enough to move St Louis’s homeownership rate from 24th to 22nd on the list of the 75 largest MSAs.

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Homeownership Rates By MSA – 1st Quarter 2020

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Showings of listings in St Louis On The Rise

By Dennis Norman, on April 25th, 2020

Yesterday, I wrote about how St Louis home sales were on the rebound based upon the latest contract data which showed the number of new contracts on listings in the St Louis MSA had declined by just 16% from the same time a year ago. The question is, will that trend continue? Well, a very good, and reliable, leading-indicator of home sales is home showings, and, as the chart below shows, showings of listings in the St Louis MSA has been on the rise over the past two weeks. As of yesterday, showings were down just 17.7% from the same Continue Reading →

St Louis Home Sales On The Rebound In Spite of COVID-19

By Dennis Norman, on April 24th, 2020

Maybe it’s the gorgeous weather, a more optimistic outlook after receiving stimulus payments or perhaps just being tired of waiting in limbo, but homebuyers have come out strong in St Louis during the past week! St Louis home sales are still not at the levels we would expect at this time of year but, as my table below shows, for the St Louis MSA as a whole, the most recent 7-day period is down just 16% from the same time last year. This is about half the decline I’ve seen when pulling the data as recently as a week ago.

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Mortgage Interest Rates Expected To Continue Falling Until Hitting 2.9 Percent Next Year

By Dennis Norman, on April 23rd, 2020

Fannie Mae issued their monthly housing forecast for April which includes, among other data, a forecast of what mortgage interest rates will be in the coming months. Last months forecast had projected that mortgage rates would continue to decline moving forward but only to a low of 3.1% before the end of 2021 while the April forecast predicted the interest rate on a 30-year fixed-rate mortgage would fall to 2.9% in the 2nd quarter of 2021 and stay there through the balance of the year.

If you’re able, now’s the time to buy!

While the effects of the COVID-19 pandemic, Continue Reading →

Showings of St Louis Listings Increase Forty-Two Percent Since Low 8 Days Ago

By Dennis Norman, on April 20th, 2020

Showings of listings for sale in the St Louis metro area started to decline on March 10th after COVID-19 hit our area and stay at home orders followed. As the chart below shows, the number of showings, compared to the same period last year, continued to fall until hitting the bottom on April 12th.

By the time showings hit rock bottom, they had declined to a level equal to about 25% fewer showings than during the first week of January this year and nearly 50% fewer showings than the same time last year. However, since hitting bottom on the 12th, Continue Reading →

The COVID-19 Impact On The St Louis Real Estate Market – One Month In

By Dennis Norman, on April 14th, 2020

The COVID-19 pandemic (coronavirus) began impacting the St Louis area just a little over a month ago and I’ve been tracking the impact on the St Louis real estate market along the way. From the outset, we have seen a decline in the number of new listings, new sales and physical showings of listings, however, overall the decline has remained fairly constant. New sales of listings for the St Louis area has pretty well hovered around a level equal to about tw0-thirds of the activity we saw at the same time last year.

Now that we are about a month Continue Reading →

The Population Increase of St Louis during past 9 years was less than one-tenth of U.S. population growth

By Dennis Norman, on April 12th, 2020

While we are in the midst of the 2020 census, the U.S. Census Bureau released its population growth estimates for metropolitan statistical areas (MSA’s) in the U.S. which revealed the St Louis MSA saw a population increase of just 0.6% from 2010 through 2019. As the table below shows, the population of the St Louis MSA in 2010 was 2,787,751 and in 2019 it was 2,803,228, an increase of 15,477 people during the 9-year period or 0.6%. Overall, the United States saw a population increase of 6.3% during the same period and the population of MSAs across the country saw Continue Reading →

St Louis Real Estate Market Update VIDEO – April 2020

By Dennis Norman, on April 10th, 2020

The St Louis real estate market is off to a good start for 2020 however, it is getting impacted by COVID-19. This month’s market update video includes market data through the end of March but, even though about 2/3 of March was after COVID-19 began disrupting things here, the effects really cannot be seen yet. A couple of weeks ago I did a Special Report video that was specifically about the impact of coronavirus on the St Louis real estate market, but it won’t be until our May market report that we really see the full impact of it on Continue Reading →

The IRS Extends Time-Frame To Complete Exchanges and Opportunity Zone Rollovers

By Dennis Norman, on April 10th, 2020

Last night, the Internal Revenue Service issued guidance to extend the time permitted to complete a like-kind exchange or rollover into an Opportunity fund. While the actual IRS notice has not been issued yet (I’m guessing it will come out today) and that will contain more specifics, below are highlights of the relief that is being granted to real estate investors by the IRS as a result of COVID-19:

1031 Like-kind exchange – If an investor is in the midst of 1031 exchange and has already sold the property they owned and the 45-day period to identify the replacement property Continue Reading →

St Louis MSA Property Taxes For 2019 Was At Same Effective Rate as 3 Years Ago

By Dennis Norman, on April 9th, 2020

The average property tax amount in 2019 for a residential property was $2,840, according to the latest data released from ATTOM Data Research. Based upon the average estimated home value for the St Louis MSA of $211,816, this works out to an effective property tax rate of 1.34% which is slightly less than last year’s effective rate of 1.36% and is the same as the rate of 1.34% in 2016.

St Louis MSA Effective Property Tax Rates – 2016 – 2019

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Is Real Estate Essential?

By Dennis Norman, on April 4th, 2020

Need I answer? Given the title of this site and if you have been here before you probably are aware I’ve been in the real estate business ever since graduating high school some 41 years ago, I’m going to guess you know I’m going to say “of course it is”. On a more serious note though, my headline poses the question in light of the current Coronavirus pandemic which has resulted in a stay at home order for several counties in Missouri and, effective tomorrow night at midnight, the entire state of Missouri.

One of the exceptions in all of Continue Reading →

How Mortgage Forbearance Works Under CARES ACT (Video)

By Dennis Norman, on April 3rd, 2020

Yesterday, I shared information about forbearance options available to borrowers with an FHA loan that has been impacted by the COVID-19 pandemic. Today, the Consumer Finance Protection Bureau released a very informative video titled “CARES Act Mortgage Forbearance: What You Need to Know” which is below. This video contains a great explanation of what forbearance is, how it works and how to request it on your mortgage.

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Foreclosure Activity Increases in February But Down 12 Percent From Year Ago

By Dennis Norman, on April 2nd, 2020

The foreclosure rate for the St Louis MSA during February increased 22.55 percent from the prior month but declined 12.0% from February 2019, according to data just released from ATTOM Data Solutions. As the table below shows, only 3 counties in the St Louis metro area saw a decline in foreclosure activity in February from the month before but 10 of the 15 counties reported saw a decline in foreclosure activity from a year ago.

Three counties, Madison in Illinois and St Louis and Lincoln in Missouri, saw a decline in foreclosure activity from both the month before as Continue Reading →