I decided to take a look at the age of homes in the St Louis area and determine if older homes in St Louis sell for lower prices than newer homes. My idea to do this was prompted by a report RealtyTrac published this morning revealing that 71 percent of the homes in the U.S. were built before 1990 and that there was less demand for these older homes thereby making prices more affordable than on their newer counterparts.
My research shows that the city of St Louis and St Louis county have a larger percent of older (pre-1990) housing stock than the national average, which is not surprising given the fact St Louis was founded almost 250 years ago. St. Charles county, on the other hand, has a much younger housing supply with less than half the homes in the county having been built before 1990.
Less demand, and lower prices, for pre-1990 homes:
As the table below shows, the percentage of homes sold thus far this year in the St Louis area that were built before 1990 is a little disproportionate with the percentage of the existing homes built before 1990. This is consistent with the RealtyTrac report which showed more demand for the newer homes. Another interesting thing to note is the significant difference in median prices for homes built before 1990 versus built after 1990.
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