St Louis Listing Supply Increases 50 Percent in July from June…still low

By Dennis Norman, on July 30th, 2021

For the past couple of years now you’ve heard how low the inventory of homes for sale is, and, if you are a buyer, you have no doubt experienced some grief or hardship in buying a home as a result. However, this may be changing. As the table below shows, there are currently 3,565 active listings in the St Louis 5-county core market (city of St Louis and counties of St Louis, St Charles, Jefferson and Franklin) which based upon the rate of home sales, works out to a supply of 1.41 months. This is a 50% increase from the supply (inventory) from June of 0.94 months. Granted, at 1.41 months, it is still VERY LOW from a historical perspective, but this is something to watch as it could be indicative of a change in the market.

What do the leading indicators show?

We don’t want to base too much on just one report for one month so to drill down a little further lets look at the STL Trends Reports, available exclusively from MORE, REALTORS®. Below the table is the New Listings Trends Report which shows for the most recent week reported, new listings were up 23% from the same period a year ago. There were 885 new listings in the St Louis 5-county core market during the week 7/18/21 – 7/24/21 as compared with 718 new listings for the same period last year. On the other side of the deal, so to speak, as the New Contracts Trends Report shows, there were 890 new contracts written during that same week, a decline of 1% from the same period the year before.

Don’t sound the alarm yet..

As I’ve said, even with the increase in inventory it is still low and the trend reports are just for one week so we need to give it more time and watch the trend in the coming couple of weeks before we can determine that there is possibly a significant trend indicating a change in the market. Stay tuned…

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