Real Estate Market - St Louis Real Estate News

Is Buying a Home a Good Investment?

By Dennis Norman, on February 16th, 2014

When asked “Is Buying a Home a Good Investment” about half (49%) of the Americans surveyed in a recent Rasmussen Reports survey said yes that a home would be a good investment for their family. Before you “glass is half empty” people say that means then the other half don’t agree, that is not accurate as only 27% percent said they felt that a home is not a good investment for a family presently while the remaining 24% just weren’t sure whether buying a home would be a good investment or not.

The survey results above are pretty consistent with Continue Reading →

Mortgage Delinquency Rate Falls To Lowest Level In 5 Years

By Dennis Norman, on February 12th, 2014

The mortgage delinquency rate for homeowners 60 days or more delinquent on their mortgages fell below 4 percent during the last quarter of 2013, the first time the delinquency rate has been below 4% since 2008, according to TransUnion. According to the report, every state in the U.S. saw a decline in mortgage delinquency rates from to the 4th quarter of 2012 to the 4th quarter of 2013 with only two, New Jersey and New York, not seeing a double digit decline. See the info graphic below for more info.

Continue Reading →

St Louis New Home Construction Increases 25 Percent in 2013

By Dennis Norman, on February 11th, 2014

St Louis area new home construction in 2013 was still very low compared with the normal rate of home construction, however increased 25% from the year before and saw the highest level of sustained activity in years. The decreased levels of new home construction over the past 6 years is leading to a shortage of homes in some areas throughout the country and setting the stage for a somewhat robust recovery of the new home market. Here in St Louis new home recovery will come at a slower pace due to our low levels of population growth here however at Continue Reading →

St Louis Home Prices and Sales Market Update VIDEO-February 2014

By Dennis Norman, on February 8th, 2014

Frigid Temperatures Put The Chill On St Louis Real Estate Market….

Not to worry though for there is plenty of good news about the St Louis real estate market in spite of the recent decline in home sales…Get this, and much more by only investing about 5 minutes of your time watching our newly published video update below.

Thinking of selling and want to know if your neighborhood is a seller’s market? Contact us and we’ll answer that question for you.

Continue Reading →

St Louis Home Prices and Sales Fall In January

By Dennis Norman, on February 7th, 2014

St Louis home prices and home sales fell in January from the month before for the five-county core St Louis market (city of St Louis and counties of St Louis, St Charles, Jefferson and Franklin). In January 2014 there were 1,569 homes sold, down 29% from December and down 16.2% from January 2013 when there were 1,873 homes sold in the St Louis core area. St Louis home prices for homes sold fell to $129,000 in January 2014 down from $141,000 the month before but up over 12% from a year ago when the median price of St Louis homes Continue Reading →

20 Best Neighborhoods in St Louis To Buy A Home

By Dennis Norman, on February 6th, 2014

What are the 20 best neighborhoods in St Louis to buy a home? With the market improving many St Louis neighborhoods have become sellers markets so home buyers and investors looking for a “deal” may feel left out in the cold. Remember real estate is local so not ALL neighborhoods today favor sellers and there are still many buyer’s markets in St Louis. So, where are the Best Neighborhoods in St Louis To Buy A Home?

The list below of the best neighborhoods in St Louis to buy a home is based upon supply and demand and not which Continue Reading →

20 Best Neighborhoods in St Louis To Sell A Home

By Dennis Norman, on February 4th, 2014

What are the 20 best neighborhoods in St Louis to sell a home? Well, it depends on how you look at it, but I like using the “Market Action Index” (or “Market Heat Report”) published by my firm, MORE, REALTORS. The reason I like the index, aside from the obvious, is that it gives an unbiased, objective analysis of the St Louis markets and rates them based primarily upon supply and demand which is what drives a market and ultimately drives home prices.

Please note, being on this list does not necessarily mean home prices are rising, in fact, perhaps Continue Reading →

St Louis Rental Vacancy Rate Falls To Lowest Level In Over A Year

By Dennis Norman, on February 3rd, 2014

The St Louis rental vacancy rate for the 4th quarter of 2013 was 10.1 percent, the lowest rate since the 3rd quarter of 2012 when the rate was 8.2 percent, according to the latest dates just released by the Census Bureau.

See the table below for quarterly vacancy rates from 2010 through 2013.

(We work hard on this and sure would appreciate a “Like”)[iframe http://www.facebook.com/plugins/like.php?href=https%3A%2F%2Fwww.facebook.com%2FStLouisRealEstateNews&send=false&layout=standard&width=50&show_faces=false&font&colorscheme=light&action=like&height=35&appId=537283152977556 100 35 ]

St Louis Real Estate Market Outlook 2014

By Dennis Norman, on February 2nd, 2014

What is the St Louis real estate market outlook for 2014? Where are home prices and sales headed? Are we out of the slump and on the path to recovery in the St Louis housing market? What about St Louis new home construction activity and St Louis new home sales?

I had the pleasure this morning of discussing this and much more with Kristi Carson, host of “Today’s Issues” , her show that airs on KSHE 95, Classical 107.3, KHITS 96.3, 105.7 The Point and FM NewsTalk 97.1. In case you don’t catch the show on the radio, you can get it here.

Continue Reading →

Where are home loan rates headed?

By Dennis Norman, on January 30th, 2014

Home loan rates have been near historic lows for a while now but the $64 question is, where are home loan rates headed in the future? While there are, of course, a variety of opinions out there, the majority of the noteworthy ones are thinking interest rates are headed upward. In the Well’s Fargo Securities Economic Outlook report for 2014, interest rates in the year ahead (2014) was addresses, saying “we expect long-term rates to exhibit an upward bias as Fed tapering moves forward. However, the extent of any increase in long-term rates should be modest, given continued low inflation Continue Reading →

St Louis Housing Market Bubble to Burst

By Dennis Norman, on January 28th, 2014

The St Louis housing market bubble of 2006 was followed by the bursting of the bubble shortly thereafter and, even though many of us tried to convince ourselves it would not happen, reality set back in. The reality was, when it came to home prices, the “greater fool theory” would only work so long until the reality of the underlying fundamentals of what makes up the value of a home would rear it’s ugly head and bring everyone down from their real estate high.

So, now that several years have passed, and many market prognosticators (including yours truly) say Continue Reading →

St Louis Home Sales Rise 12 Percent In 2013; Prices Up Too

By Dennis Norman, on January 21st, 2014

St Louis homes sales (the 5-county core market*) for 2013 increased from 24,134 for the 2012 to 26,979 for 2013, an increase of 12%, according to the latest data available from MORE, REALTORS. St Louis home prices rose in 2013 to a median sales price of $149,900 an increase of over 11% from 2012 when the median home price was $135,000.

For the past few months I have been saying that the St Louis real estate market is definitely in a recovery and the home sales data continue to support this notion.

(We work hard on this and sure would Continue Reading →

Dr. Martin Luther King Jr and Fair Housing

By Dennis Norman, on January 20th, 2014

Today, as we celebrate the life of Dr. Martin Luther King, Jr., it is hard for me to believe that, during my lifetime, there was a time when it was legal to refuse to rent or sell a house to someone because of their race or skin color, but it was. However, the Civil Rights Act of 1968, also referred to as the “Fair Housing Act of 1968”, which was signed into law by President Lyndon Johnson, just one week after Dr. King’s assassination, corrected this and made it illegal to refuse to rent or lease a home to someone based upon their race. Continue Reading →

Foreclosures in St Louis Metro Area Down Over 40 Percent From Year Ago

By Dennis Norman, on January 16th, 2014

Foreclosures in the St Louis metro area during the 4th quarter of 2013 were down 13.79% from the prior quarter and down 40.64% from the 4th quarter of 2012, according to a report released today by RealtyTrac. As the table below shows, the foreclosure rate for 3 of the 5 core St Louis counties declined in the 4th quarter from the prior quarter and all declined from the year before.

Search St Louis Foreclosures For Sale

Continue Reading →

St Louis Home Prices and Sales Market Update VIDEO-January 2014

By Dennis Norman, on January 14th, 2014

Recovery is underway!

Yes! St Louis home prices are on the rise and the St Louis real estate market is recovering! Find out why I feel this way and where the market is headed in my newly published 5 minute video update below.

Thinking of selling and want to know if your neighborhood is a seller’s market? Contact us and we’ll answer that question for you.

Continue Reading →

More than 1 in every 4 St Louis homeowners still seriously underwater on mortgage

By Dennis Norman, on January 10th, 2014

Over 1 of every four St Louis homeowners (28%) with a mortgage are seriously underwater on their mortgages, meaning the current value of their home is at least 25 percent less than the total of their mortgages as of December 2013, according to a report just released by RealtyTrac. On a national level, in December 19% of the homeowners with a mortgage were considered seriously underwater.

At the other end of the spectrum, 11 percent of St Louis homeowners with a mortgage are “equity-rich“, meaning their mortgages total less than 50% of the current value of their home. On a Continue Reading →

St Louis Neighborhoods Poised For Strong Spring Housing Market

By Dennis Norman, on January 6th, 2014

It doesn’t take a rocket scientist to know that home prices typically rise in the spring as the St Louis real estate market heats up however, it is more of a challenge to find those areas that may out perform the others. So, which St Louis neighborhoods are poised for a strong spring housing market?

As I wrote about earlier this week, a recovery of the St Louis real estate market is underway, however, some areas will fare better than others of course. For some home buyers the “investment” aspect of their next home is secondary as the school district, Continue Reading →

Important Changes to FHA Home Loans Now In Effect

By Tyler Frank NMLS # 942420, on January 3rd, 2014

Tyler Frank,Paramount MortgageNMLS ID 942420

The Federal Housing Authority (FHA) has made some changes for 2014, which took effect January 1 and affect FHA home loans. First and foremost, you will see a drop in the maximum allowable loan. In the St. Louis metro area, for example, the new max loan amount for a single-family home has been lowered to $271,050 from $281,250.

Other items of note regarding FHA have not changed; so as a refresher let’s look at FHA qualifications and rules:

Borrower must put 3.5% down based on sales price. 100% of the buyer’s contribution Continue Reading →

St Louis Housing Market Recovery Underway

By Dennis Norman, on January 2nd, 2014

It’s hard to believe that it has been over 5 years since the housing market bubble burst but, as we begin this new year, it is good to continue to see market data that supports a St Louis housing market recovery is underway!

As we have been reporting here on St Louis Real Estate News, over the past few months we have seen a solid recovery trend in the St Louis real estate market. Home prices have increased as have home sales, the new home market continues to make progress with new home construction and sales on the rise and Continue Reading →

Happy New Year!

By Dennis Norman, on January 1st, 2014

Merry Christmas!

By Dennis Norman, on December 25th, 2013

Wishing you and your family a very Blessed and Merry Christmas!

What is QM?

By Tyler Frank NMLS # 942420, on December 13th, 2013

Tyler Frank,Paramount MortgageNMLS ID 942420

On January 10, 2014 the mortgage world is going to go through some changes. These changes will affect consumers and their ability to qualify for a home loan. Is it doom and gloom? Not really.

A “Qualified Mortgage” or QM, is something we at Paramount Mortgage have been doing for a while. It is all about the consumer having the ability to repay the loan and verifying, to the best of our ability, through paperwork, all the facets of a loan approval. It is very possible additional paperwork may be requested Continue Reading →

St Louis Foreclosures Down About 50 Percent From A Year Ago

By Dennis Norman, on December 12th, 2013

St. Louis foreclosures have declined roughly 50 percent from a year ago, according to the latest data from RealtyTrac. As the table below shows, the foreclosure rate for the 3 main counties of St Louis (city of St Louis, St Louis County and St Charles county) was down from the month before (or about the same for the city), however Franklin and Jefferson county saw an increase from the month before. All five counties have seen a significant drop in foreclosure rate from a year ago.

St Louis Home Prices and Real Estate Market Update for December 2013

By Dennis Norman, on December 10th, 2013

Recovery is underway!

The St Louis real estate market is definitely showing signs of a sustained recovery trend for the market based upon the latest market contained in our St Louis Real Estate Market update video below.

Invest just 5 minutes of your time watching our market update, and you will be smarter than the average bear about the St Louis real estate market!

Thinking of selling and want to know if your neighborhood is a seller’s market? Contact us and we’ll answer that question for you.

You can now subscribe to our ITUNES Podcast Channel to receive our updated Continue Reading →

St Charles County Most Expensive Homes For Sale

By Dennis Norman, on December 9th, 2013

In the thirty year period from 1980 to 2010 the number of housing units in St Charles county tripled from 49,523 units to 141,016 units. St Charles’ growth has been fueled in part by an abundance of affordable new homes but that doesn’t mean St Charles county doesn’t have it’s share of luxury homes though! According to the latest housing data from the US Census Bureau, about 3 percent of the housing units in St Charles, or about 3,300 units, are valued at $500,000 or above.

Below is a slide show revealing St Charles County Most Continue Reading →

St Louis Short Sales Plummet While REO’s on the Rise

By Dennis Norman, on November 26th, 2013

St. Louis short sales accounted for just 1 percent of the overall home sales activity during October in the core market of St. Louis (the city of St Louis and counties of St Louis, St Charles, Jefferson and Franklin), according to the latest data from RealtyTrac. As the table below shows, Jefferson County had the largest percentage of short sales in October at 7% and St Charles and Franklin both the lowest at 0%. REO sales (prior foreclosures that are now bank owned) on the other hand, made up 7 percent of St Louis area home sales in October, an Continue Reading →

St Charles County Most Expensive Homes For Sale – Slideshow

By Dennis Norman, on November 22nd, 2013

St Charles county’s most expensive homes for sale can be found from Augusta in the southern part of the county to Wentzville in the north, from Foristell to the city of St Charles and come in all shapes and sizes. The live, real-time, slide show below shows the variety of million dollar plus homes currently for sale in St Charles county.

Continue Reading →

St Louis Luxury Home Sales Increase For 5th Consecutive Year

By Dennis Norman, on November 21st, 2013

St Louis luxury home sales (home sales of $1Mil or above) increased in the past 12 months almost 8 percent from the year with 182 homes being sold for $1 million or more in the St Louis core area (city of St Louis and the counties of St Louis, St Charles, Jefferson and Franklin). Luxury home sales in St Louis peaked between 11/06 and 11/07 when there were 268 homes sold. St Louis luxury home prices have not kept pace with sales with the average luxury home price declining for the past two years, however, thanks to increased sales, the Continue Reading →

St Louis Home Sales Increase Slightly In October…Distressed Sales Share Drops By Third In Past Year

By Dennis Norman, on November 20th, 2013

St Louis homes sales (the 5-county core market*) increased slightly in October 2013 to 2,211 sales from 2,207 sales the month before. However, as the table below shows, a couple of key things worth noting are that October home sales increased 6.76 percent from October 2012 and, in October 2013, distressed sales (foreclosures, short sales, REO’s) accounted for just a little over 20% of total home sales, down from almost 31% a year ago.

St Louis home prices, as the chart below shows, have steadily risen in the past year from a median price of $130,000 in October 2012 to Continue Reading →

St Louis Neighborhoods Where Homes Are Selling Fast

By Dennis Norman, on November 19th, 2013

All 10 of the St Louis neighborhoods where homes are selling the quickest are found in St. Louis County, according to the latest data available from MORE, REALTORS. As the table below shows, the 63040 zip in Grover has the lowest median time homes for sale have been on the market at just 35 days.

The chart below the table shows the number of homes that were sold during October 2013 in each of these zip codes that made the top ten list for fastest selling St Louis neighborhoods. Ballwin saw the most home sales with almost 70 in the Continue Reading →